The bim corporation has decided to build a new facility for, Financial Management

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The bim corporation has decided to build a new facility for

The BIM Corporation has decided to build a new facility for its R&D department. The cost of the facility is estimated to be $125 million. BIM wishes to finance this project using its traditional debt-equity ratio of 1.5. The issue cost of equity is 6% and the issue cost of debt is 1%. What is the total flotation cost?

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Financial Management: The bim corporation has decided to build a new facility for

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Financial Management: The bim corporation has decided to build a new facility for

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