Question
Dickson,Inc.,has a debt-equity ratio of 2.5.The firm's weighted average cost of capital is 8.6%and its pretax cost is 4.9%.The tax rate is 33%. What is
Dickson,Inc.,has a debt-equity ratio of 2.5.The firm's weighted average cost of capital is 8.6%and its pretax cost is 4.9%.The tax rate is 33%.
What is the company's unleveredcost of equity capital?
NOTE: Enter the PERCENTAGE number rounding to two decimals. If your decimal answer is 0.034576, your answer must be 3.46. DO NOT USE the % sign
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
Concise 6th Edition
324664559, 978-0324664553
