What is blumbergs cost of equity


Assignment:

Blumberg Inc. has an unlevered beta of 1.10. The firm currently has no debt, but is considering changing its capital structure to be 40% debt and 60% equity. Its corporate tax rate is 40%, rRF = 5% and the market risk premium is 4%. What is Blumberg's cost of equity if it does change its capital structure?

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Corporate Finance: What is blumbergs cost of equity
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