Question
Jon Stark ,Inc. Has estimated the costs of debt and equity capital for various proportions of debt in its capital structure. % of Debt Cost
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Jon Stark ,Inc. Has estimated the costs of debt and equity capital for various proportions of debt in its capital structure.
| % of Debt | Cost of Debt | Cost of Equity |
| 0% | - | 13.0% |
| 10% | 5.4% | 13.3 |
| 20% | 5.6 | 13.8 |
| 30% | 5.8 | 14.4 |
| 40% | 6.3 | 15.2 |
| 50% | 7.0 | 16.0 |
| 60% | 8.2 | 17.0 |
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Entrepreneurial Financial Management An Applied Approach
Authors: Jeffrey R Cornwall, David O Vang, Jean M Hartman
5th Edition
0367335417, 978-0367335410
