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Dusit is financed 20% by debt yielding 8.9%. Investors require a return of 15.9% on Dusit's equity. a. What is the company's welghted-average cost of
Dusit is financed 20% by debt yielding 8.9%. Investors require a return of 15.9% on Dusit's equity. a. What is the company's welghted-average cost of capital if the corporate tax rate is 35%? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Weighted average cost of capital % b. What would be the company's cost of capital if it were exempted from corporate tax? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Weighted average cost of capital %
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