Question
Miller Manufacturing has a target debt-equity ratio of .35. Its cost of equity is 12.6 percent and its cost of debt is 7.3 percent. If
Miller Manufacturing has a target debt-equity ratio of .35. Its cost of equity is 12.6 percent and its cost of debt is 7.3 percent. If the tax rate is 21 percent, what is the company’s WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
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Let Equity 100 Then Debt 35 and Total of Debt and eq...
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Corporate Finance
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe
10th edition
978-0077511388, 78034779, 9780077511340, 77511387, 9780078034770, 77511344, 978-0077861759
