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Fama s Llamas has a WACC of 8 . 9 percent. The company s cost of equity is 1 3 percent, and its pretax cost

Famas Llamas has a WACC of 8.9 percent. The companys cost of equity is 13 percent, and its pretax cost of debt is 6.2 percent. The tax rate is 23 percent. What is the companys target debt-equity ratio?
Note: Do not round intermediate calculations and round your answer to 4 decimal places, e.g.,32.1616.

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