Question
Gamesys has a cost of equity of 12.84 percent and a pretax cost of debt of 6.7 percent. The debt-equity ratio is 1.40 and the
Gamesys has a cost of equity of 12.84 percent and a pretax cost of debt of 6.7 percent. The debt-equity ratio is 1.40 and the tax rate is 25 percent. What is the company's unlevered cost of capital?
| 9.03% | ||
| 9.28% | ||
| 9.46% | ||
| 9.59% | ||
| 9.70% |
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Public Finance In A Changing World
Authors: Peter Birch Sorensen
1998th Edition
0333682211, 978-0333682210
