Klausing Corp. has a cost of debt capital of 4%, a cost of equity capital of 20% and a cost of project capital of 9%. Assume perfect capital markets. a. What is the company's debt-equity ratio? Equity Debt Hint: The ratio is, by construction, 1 - Equity + Debt Equity + Debt X X Y Also note that even if you don't know X or Y Y X+Y X + Y