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Fama's Llamas has a WACC of 10%. The company's cost of equity is 14%, and its pretax cost of debt is 5%. The tax rate

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Fama's Llamas has a WACC of 10%. The company's cost of equity is 14%, and its pretax cost of debt is 5%. The tax rate is 20%. What is this company's target D/E ratio? .786 .667 .40 .60 .546

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