Weston Mines Has a Cost of Equity of 14

Multiple Choice

Weston Mines has a cost of equity of 14.9 percent, a pretax cost of debt of 7.3 percent, and a return on assets of 12.6 percent.Ignore taxes.What is the debt-equity ratio?

A) .52
B) .84
C) .43
D) .77
E) .56