A company has only two type of capital : debt and equity. It has a target debt-equity ratio of 1.1 . Its cost of equity is 9% , and its cost of debt is 7%. If the tax rate is 38% , what is the company s WACC? (Enter your answers a percent rounded to 2 decimal places, leave out % sign, for example, for answer 0.43%, enter 0.43 only)

Answer rating: 100% (QA)

To calculate the Weighted Average Cost of Capital WACC we can use the following formula WAC... View the full answer