Multiple Choice
Rosita's has a cost of equity of 12.41% and a pre-tax cost of debt of 8.5%.The debt-equity ratio is .60 and the tax rate is .34.What is Rosita's unlevered cost of capital?
A) 11.30%
B) 12.33%
C) 13.97%
D) 14.08%
E) 14.60%
Correct Answer:
Verified
Correct Answer:
Verified
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