Question
The debt-to-equity ratio of the CI Corp. is 0.15. If its cost of equity is 10.5%, and its pretax cost of debt is 4.5%, what
The debt-to-equity ratio of the CI Corp. is 0.15. If its cost of equity is 10.5%, and its pretax cost of debt is 4.5%, what is the companys WACC? Assume that the tax rate is 30%.
a. 9.54%
b. 8.24%
c. 9.98%
d. 10.24%
e. 8.58%
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International Marketing And Export Management
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr
8th Edition
9781292016924
