Question: Delt Express has a debt-equity ratio =0.6. The return on equity is 15% and the interest cost of debt before tax is 9%. Income tax

Delt Express has a debt-equity ratio =0.6. The return on equity is 15% and the interest cost of debt before tax is 9%. Income tax 28%. What is WACC?

a) 10.32 % b) 12.15% c) 11.81 % d) 14.25% Show calculations.

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