dvar A hedge fund relies on leverage to enhance the returns of its investment strategy. The strategy is forecasted to earn a 6% return on assets in the next year. In addition, the fund will pay 1% interest on any debt borrowed to leverage its returns. If the fund manager's goal is to earn a 23% return on its equity next year, calculate the required leverage ratio that will be needed to achieve this return. Select one: a. 4% Next O b. 4.496 O c. 17% O d. 17.296