4.761 QUESTION 13 Meyer Ine's total invested capital is $670,000, and its total debt outstanding is $185,000. The new CFO wants to establish a total debt to total capital ratio of 58%. The size of the firm will not change. How much debt must the company add or subtract to achieve the target debt to capital ratio? O a $227,540 b. $170,655 c. $183,500 od. $194,510 e. $187,170 QUESTION 14 Beranek Corp has $625,000 of assets (which equal total invested capital), and it uses no debitis financed only with common equity. The new CFO wants to employ enough debt to raise the total debt to total capital ratio to 40%, using the proceeds from borrowing to buy back common stock at its book value. How much must the firm borrow to achieve the target debt ratio? a. S202,500 b. $195,000 c. $212,500 O d. $262,500 e. $250,000