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Debbie's Cookies has a return on assets of 8.8 percent and a cost of equity of 12.3 percent. What is the pretax cost of debt

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Debbie's Cookies has a return on assets of 8.8 percent and a cost of equity of 12.3 percent. What is the pretax cost of debt if the debt-equity ratio is .89? Ignore taxes. (2) 1) 4.87% 2) 5.62% B) 5.41% 4) 5.14% 5) 4.42%

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