Multiple Choice
Delta Mowers has a debt-equity ratio of 1.2.Its WACC is 10.1 percent,and its cost of debt is 7.5 percent.There is no corporate tax.What is the firm's cost of equity capital?
A) 12.60 percent
B) 13.22 percent
C) 13.83 percent
D) 14.29 percent
E) 14.80 percent
Correct Answer:
Verified
Correct Answer:
Verified
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