24 A A B D E F 1 2 3 4 5 6 7 8 00 9 9 Find the optimum capital structure? Unlevered beta = 0.65 Tax Rate = 35% Rf=4% Rm = 10 % Total debt and equity = 1500 and Debt = 400 @4% Total debt and equity = 1400 and Debt = 350 @ 3.5 % Total debt and equity = 1600 and Debt = 450 @ 4.5 % Total debt and equity = 1700 and Debt = 300 @ 4.5% Total debt and equity = 1300 and Debt = 550 @ 5.5 % Total debt and equity = 1600 and Debt = 250 @ 6% 10 11 12 13 14 15 16 17 18 19 20 21