Question
Miller Manufacturing has a target debtequity ratio of .40. Its cost of equity is 15 percent, and its cost of debt is 6 percent. If
Miller Manufacturing has a target debtequity ratio of .40. Its cost of equity is 15 percent, and its cost of debt is 6 percent. If the tax rate is 40 percent, what is the companys WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
| WACC | % |
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International Financial Reporting And Analysis
Authors: David Alexander, Ann Jorissen, Martin Hoogendoorn
8th Edition
978-1473766853, 1473766850
