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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 ratio is somewhere between 20%

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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 ratio is somewhere between 20% and 50%, and her staff has compled the following projections for EPS and the stock price at various debt levels: Assuming that the firm uses only debt and common equity, whot is Terrell's optimal capital structure? Choose from the options provided above: Round your answers to two decimal piaces. % debt (x) \%r equity At what debt-to-capital ratio is the company's WACC minimized? Choose from the options provided above. Round your answor to two decimal places: (3) \%

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