Question: Answer is -0.0188. I need help trying to get to the answer. Please be as detailed as possible in your steps. A firm currently has

Answer is -0.0188. I need help trying to get to the answer. Please be as detailed as possible in your steps.

A firm currently has 14M in debt and 75M in equity. Its cost of debt is 3.9%, tax rate of 32%, and the Beta of 2.3. Current market conditions indicate that the risk-free rate is 2.0% and the expected return on the market is 9.1%. If the firm were to increase its weight of debt by 12%, what would be the change in its WACC? Assume that the cost of debt and equity do not change

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