Question
A company wants to keep its WACC equal to 8.5 percent. The companys cost of equity is 15.2 percent and its aftertax cost of debt
A company wants to keep its WACC equal to 8.5 percent. The companys cost of equity is 15.2 percent and its aftertax cost of debt is 4.8 percent. What debt-equity ratio is needed for the company to achieve its desired WACC?
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Fixed Income Securities Tools For Todays Markets
Authors: Bruce Tuckman, Angel Serrat
3rd Edition
0470891696, 978-0470891698
