Question: From the information below, select the optimal capital structure for AMA. a. Debt = 20%; Equity = 80%; EPS = $2.95; WACC = 13.79%. b.
From the information below, select the optimal capital structure for AMA.
a. Debt = 20%; Equity = 80%; EPS = $2.95; WACC = 13.79%.
b. Debt = 30%; Equity = 70%; EPS = $3.05; WACC = 13.55%.
c. Debt = 40%; Equity = 60%; EPS = $3.18; WACC = 13.65%.
d. Debt = 50%; Equity = 50%; EPS = $3.31; WACC = 13.87%.
e. Debt = 60%; Equity = 40%; EPS = $3.42; WACC = 14.22%.
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