Based upon the cost of capital approach, what do you think is the optimal debt ratio for
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Question:
Based upon the cost of capital approach, what do you think is the optimal debt ratio for your Apple (or a range of debt ratio)? Does Apple have too much or too little debt?
Tip. Think about following questions: what is the current cost of capital? If debt ratio change, how would the cost of capital change?At what debt ratio, the cost of capital is minimized?
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