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The company Galicia, S. A. wants to have a weighted average cost of capital of 11%. The company has a cost of debt, after taxes,

The company Galicia, S. A. wants to have a weighted average cost of capital of 11%. The company has a cost of debt, after taxes, of 6%, and a cost of common equity of 12%. What is the debt-to-equity ratio needed for the firm to achieve its target weighted average cost of capital?

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