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The Tree House has a pretax cost of debt of 5.5 percent and a return on assets of 11.6 percent. The debt-equity ratio is .62.
The Tree House has a pretax cost of debt of 5.5 percent and a return on assets of 11.6 percent. The debt-equity ratio is .62. Ignore taxes. What is the cost of equity? Multiple Choice 16.15% 15.88% 15.38% 7.82% O O 16.78%
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