Question
A firm has a target weighted average cost of capital (WACC) of 6.6 percent, an after-tax cost of debt of 4.2 percent, and a cost
A firm has a target weighted average cost of capital (WACC) of 6.6 percent, an after-tax cost of debt of 4.2 percent, and a cost of equity of 10.2 percent. What debt/equity ratio does the firm need to achieve its target? Round your answer to 2 decimal places.
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Financial Accounting: A Business Process Approach
Authors: Jane L. Reimers
3rd edition
978-0136115274
