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Terrell Trucking Company is in the process of setting its target capital structure . The CFO believes that the optimal debt - to - capital
Terrell Trucking Company is in the process of setting its target capital structure The CFO believes that the optimal debt to capital ratio is somewhere between and and her staff has compiled the following projections for EPS and the stock price at various debt levels : Debt Capital Ratio Projected EPS Projected Stock Price $ $ Assuming that the firm uses only debt and common equity what is Terrell's optimal capital structure Choose from the options provided above Round your answers to two decimal places debt equity At what debt to capital ratio is the company's WACC minimized Choose from the options provided above Round your answer to two decimal places
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