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6. Company Y has WACC of 10%. The cost of equity capital is 16% and pretax cost of debt is 7%. Company tax rate

6. Company Y has WACC of 10%. The cost of equity capital is 16% and pretax cost of debt is 7%. Company tax rate is 35%. a. Calculate the equity to firm value ratio (E/V). b. What is the debt to equity ratio (D/E)?

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