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Downtown Stores can issue equity at a flotation cost of 8.76 percent and debt at 5.93 percent. The firm currently has a debt-equity ratio of

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Downtown Stores can issue equity at a flotation cost of 8.76 percent and debt at 5.93 percent. The firm currently has a debt-equity ratio of .37 but prefers a ratio of .35. What should this firm use as their weighted average flotation cost? Multiple Choice 8.34 percent 8.26 percent 8.00 percent O O 8.03 percent O 8.37 percent

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