Attempts Do No Harm: 6 6. Determining the optimal capital structure Aa Aa Understanding the optimal capital structure Review this situation: Transworld Consortium Corp. is trying to identify its optimal capital structure. Transworld Consortium Corp. has gathered the following financial information to help with the analysis WACC 8.61% 8.21% 8.01% 8.08% 8.38% Debt Ratio Equity Ratio rd 3090 40% 50% 60% 70% 70% 60% 50% 40% 30% 7.00% 7.20% 7.70% 8.90% 10.30% rs 10.50% 10.80% 11.40% 12.20% 13.50% Which capital structure shown in the preceding table is Transworld Consortium Corp.'s optimal capital structure? Debt ratio-30%; equity ratio-7090 Debt ratio-60%; equity ratio-4090 Debt ratio-40%; equity ratio-6090 Debt ratio-50%; equity ratio-5090 Debt ratio-7090; equity ratio-3090