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Ch14-12a.) Calculating WACCWeston Industries has a debtequity ratio of 1.4. Its WACC is 8.3 percent, and its cost of debt is 5.7 percent. The corporate

Ch14-12a.) Calculating WACCWeston Industries has a debtequity ratio of 1.4. Its WACC is 8.3 percent, and its cost of debt is 5.7 percent. The corporate tax rate is 35 percent. a. What is the companys cost of equity capital? b. What is the companys unlevered cost of equity capital? c. What would the cost of equity be if the debtequity ratio were 2? What if it were 1? What if it were zero?

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