Question
Brannan Manufacturing has a target debt-equity ratio of .65. Its cost of equity is 13 percent, and its cost of debt is 6 percent.
Brannan Manufacturing has a target debt-equity ratio of .65. Its cost of equity is 13 percent, and its cost of debt is 6 percent. If the tax rate is 25 percent, what is the company's WACC? (Do not round intermediate calculations and enter your answer as percent rounded to 2 decimal places, e.g., 32.16.)
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Managerial Accounting
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
14th edition
1337270598, 978-1337270595
