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Luther Industries has 25 million shares outstanding trading at $18 per share.In addition,Luther has $150 million in outstanding debt.Suppose Luther's equity cost of capital is 13%,its debt cost of capital is 7%,and the corporate tax rate is 40%.
-Luther's after-tax debt cost of capital is closest to:
Personal Zone
An individual's preferred physical space around them, influencing social interactions and personal comfort.
Intimate
Characterized by a close, personal, and private relationship or interaction between individuals.
Social
Relating to society or its organization, emphasizing the interaction and relationships of individuals within a community.
Nonverbal Behavior
Communication expressed through body movements, facial expressions, gestures, and posture, rather than words.
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