Question
The finance manager of NN Co. estimated the following Unlevered beta (BUL) Debt to equity ratio (D/E) Tax rate (t) Risk free rate Market
The finance manager of NN Co. estimated the following Unlevered beta (BUL) Debt to equity ratio (D/E) Tax rate (t) Risk free rate Market risk premium 0.86 40.00% 30% 3% 5% By how much would the capital structure shift change the Co's cost of equity?
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