dimitriusjones3867 dimitriusjones3867

25-05-2023
Business

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Steinberg plc has debt with both a face and a market value of €5,000. This debt has a coupon rate of 6% and pays interest annually. The expected perpetual earnings before interest and taxes is €2,000, the tax rate is 30%, and the unlevered cost of capital is 12%. What is the firm's cost of equity?

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