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Google: after tax wacc

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Assume that investors hold Google stock in retirement accounts that are free from personal taxes. Also assume that Google's current pre-tax WACC is 12%. If Google were to issue sufficient debt to give them a debt to value ratio of 0.5, then the Google's after-tax WACC would be closest to:
A) 10.4%
B) 12.8%
C) 13.0%
D) 15.0%
E) 16.0%

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This solution helps explore how to calculate after tax WACC for Google.

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