Understanding the optimal capital structure Review this situation: Universal Exports Inc. is trying to identify its optimal capital structure. Universal Exports Inc. has gathered the following financial information to help with the analysis. Debt Ratio Equity Ratio EPS DPS Stock Price 30% 70% 1.25 0.55 36.25 40% 60% 1.40 0.60 37.75 50% 50% 1.60 0.65 39.50 60% 40% 1.85 0.75 38.75 70% 30% 1.75 0.70 38.25 Which capital structure shown in the preceding table is Universal Exports Inc's optimal capital structure? O Debt ratio -50%: equity ratio 50% O Debt rabo 40%: equity ratio -60% Debt ratio 30%; equity ratio -70% O Debt ratio 60% equity ratio 40% O Debt ratio 70%; equity ratio 30% Consider this case: Globex Corp, has a capital structure that consists of 40% debt and 60% equity. The firm's current betais 1.15, but management wants to understand Globex Corp.'s market risk without the effect of leverage. 1 Globex Corp, has a 35% tax rate, what is its unlevered beta? 0.04 O: 0.80 0.96 O 0.80 Now consider the case of another company U.S. Robotics Inc. has a current capital structure of 30% debt and 70% e Its current before-tax cost of debt is 6%, and its tax rate is 35%. It currently has a levered bets of 1.15. The risk-free rate is 3%, and the risk premium on the market is 7.5%