Question: 33 . Suppose that Tips Toes , Inc 's capital structure features 40 percent equity , 60 percent debt , and that its before -

33 . Suppose that Tips Toes , Inc 's capital structure features 40 percent equity , 60 percent debt , and that its before - tax cost of debt is 9 percent , while its cost of equity is 15 percent . If the appropriate weighted average tax rate is 34 percent , what will be Tips N Toes WACO A . 9 . 36 % B. 9 56% C . 11 , 40 % D. 24.00%

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