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What would happen to the expected rate of return on equity if the firm changed its capital structure to 50 % debt? Assume the firm
What would happen to the expected rate of return on equity if the firm changed its capital structure to 50 % debt? Assume the firm pays no taxes, the cost of debt does not change, and that the initial WACC is 11.55 %. Enter your anwer as a percentage rounded to two decimal places. Do not include the percentage sign as part of your answer. Number Return of Equity of Equity
info capital structure with 35% debt pays at interest rates of 7%, the expected rate of return on equity is 14%
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