C cjimenoo New member Apr 25, 2010 #1 Fama's Llamas has a weighted average cost of capital of 8.9 percent. The company's cost of equity is 12 percent, and its pretax cost of debt is 7.9 percent. The tex rate is 35 percent. What is the company's target debt-equity ratio?
Fama's Llamas has a weighted average cost of capital of 8.9 percent. The company's cost of equity is 12 percent, and its pretax cost of debt is 7.9 percent. The tex rate is 35 percent. What is the company's target debt-equity ratio?
