Question: Question 8 (Mandatory) (2 points) Design Interiors has a cost of equity of 18,6% and a pretax cost of debt of 8%. The firm's target

 Question 8 (Mandatory) (2 points) Design Interiors has a cost of

Question 8 (Mandatory) (2 points) Design Interiors has a cost of equity of 18,6% and a pretax cost of debt of 8%. The firm's target weighted average cost of capital is 12% and its tax rate is 40%. What is the firm's target debt-equity ratio? A) 0.89 B) 0.97 OC) 0.85 OD) 0.92 E) 0.98 Previous Pace Next Page Page 8 of 19 Submit Qul 0 of 19 questions saved

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