What is company target debt

What is company target debt–equity ratio

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Reference no: EM131343131

Fama’s Llamas has a WACC of 9.3 percent. The company’s cost of equity is 11.2 percent, and its pretax cost of debt is 7.9 percent. The tax rate is 34 percent.

What is the company’s target debt–equity ratio?

Debt–equity ratio =

Reference no: EM131343131

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