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Maroon Industries has a debt - equity ratio of 1 . 5 . Its WACC is 1 1 percent, and its cost of debt is

Maroon Industries has a debt-equity ratio of 1.5. Its WACC is 11 percent, and its
cost of debt is 8 percent. There is no corporate tax.
a. What is the company's cost of equity capital?
Note: Do not round intermediate calculations and enter your answer as a
percent rounded to 2 decimal places, e.g.,32.16.
b-1. What would the cost of equity be if the debt-equity ratio were 2?
Note: Do not round intermediate calculations and enter your answer as a
percent rounded to the nearest whole number, e.g.,32.
b-2. What would the cost of equity be if the debt-equity ratio were .7?
Note: Do not round intermediate calculations and enter your answer as a
percent rounded to 2 decimal places, e.g.,32.16.
b-3. What would the cost of equity be if the debt-equity ratio were zero?
Note: Do not round intermediate calculations and enter your answer as a
percent rounded to the nearest whole number, e.g.,32.
Answer is complete but not entirely correct.
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