What is primes debt-to-equity ratio

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Prime Inc. has an after-tax WACC of 10.58% (EAR). The company’s cost of equity is 13.4% (EAR) and its semi-annual coupon bonds have a yield-to-maturity of 7.8% (APR, semi-annually compounded). The tax rate is 35%. What is Prime’s debt-to-equity (D/E) ratio?

Reference no: EM13938387

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What is primes debt-to-equity ratio : Prime Inc. has an after-tax WACC of 10.58% (EAR). The company’s cost of equity is 13.4% (EAR) and its semi-annual coupon bonds have a yield-to-maturity of 7.8% (APR, semi-annually compounded). The tax rate is 35%. What is Prime’s debt-to-equity (D/E)..
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