ecurity updates, fixes, and improvements, choose... DETERMINATION OF THE OPTIMAL CAPITAL STRUCTURE The company Zeta, Inc. expects EBIT of $ 4,000.00 pesos and a marginal rate of 40% tax. The shareholder's required rate of return is 12% while The market value of the share is $ 20. The company has 1,000 shares in circulation. Determination of the optimal capital structure for the company using the discounted cash flow technique and evaluated the different situations of debt levels. V-D+S S-LUAFIR - kdDX1-T) V-UAFIRI -TYWACC V-Business value S-Value of Capital common D-Debt value Deuda k ky 0 0 12% $2.000 8% 12.2% $4.000 8.3% 12.6% $6,000 9% 13.2% $8,000 10% 14% $10,000 12% 15.2% S $20,000 $20,000 P $20 D/V WACC) 0% 12%