Multiple Choice
The Outlet has a cost of equity of 16.8 percent, a pre-tax cost of debt of 8.1 percent, and a return on assets of 14.5 percent. Ignore taxes. What is the debt-equity ratio?
A) 0.28
B) 0.36
C) 0.44
D) 0.52
E) 0.57
Correct Answer:
Verified
Correct Answer:
Verified
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