Question
Summit Builders has a market debt-equity ratio of 1.451.45, a corporate tax rate of 30 %30%, and pays 9 %9% interest on its debt. By
Summit Builders has a market debt-equity ratio of 1.451.45, a corporate tax rate of 30 %30%, and pays 9 %9% interest on its debt. By what amount does the interest tax shield from its debt lower Summit's WACC? WACC is lowered by nothing%.
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Financial Trading And Investing
Authors: John Teall
3rd Edition
0323909558, 978-0323909556
