Question
Mounds Manufacturing has a target debt-equity ratio of 0.61. Its cost of equity is 17 percent, and its cost of debt is 8 percent. The
Mounds Manufacturing has a target debt-equity ratio of 0.61. Its cost of equity is 17 percent, and its cost of debt is 8 percent. The tax rate is 34 percent. The weighted average cost of capital is ________ %. (round anwer to 2 decimal places)
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Financial Management Principles and Applications
Authors: Sheridan Titman, Arthur J. Keown, John H. Martin
13th edition
134417216, 978-0134417509, 013441750X, 978-0134417219
