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Acme Inc. has 4 0 million shares outstanding trading for $ 5 per share and $ 7 5 million in debt. The board of directors

Acme Inc. has 40 million shares outstanding trading for $5 per share and $75 million in debt. The board of directors of Acme has just decided to restructure the firms capital by issuing new equity and retiring 80% of all outstanding debt. Assume the perfect capital market, find the debt-to-equity ratio after the restructure

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