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Kountry Kitchen has a cost of equity of 1 1 . 5 percent, a pretax cost of debt of 6 . 1 percent, and the

Kountry Kitchen has a cost of equity of 11.5 percent, a pretax cost of debt of 6.1 percent, and the tax rate is 21 percent. If the company's WACC is 8.86 percent, what is its debt-equity ratio?
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.40
1.53
.65
1.62
.78
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