Famas llamas has a weighted average cost of capital of 108, Financial Management

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Famas llamas has a weighted average cost of capital of 108

Fama’s Llamas has a weighted average cost of capital of 10.8 percent. The company’s cost of equity is 13 percent, and its pretax cost of debt is 8.8 percent. The tax rate is 38 percent. What is the company's debt-equity ratio? (Do not round intermediate calculations and round your final answer to 4 decimal places (e.g., 32.1616).)

Debt−equity ratio

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Financial Management: Famas llamas has a weighted average cost of capital of 108

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Financial Management: Famas llamas has a weighted average cost of capital of 108

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