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AP Products has a pretax cost of debt of 6.4 percent and an unlevered cost of capital of 12.6 percent. The firm's tax rate is
AP Products has a pretax cost of debt of 6.4 percent and an unlevered cost of capital of 12.6 percent. The firm's tax rate is 35 percent and the cost of equity is 16.8 percent. What is the firm's debt-equity ratio? OA) 1.61 OB) 1.04 OC) 1.23 OD) 1.39 OE) 1.07
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