The companys cost of equity is 15 percent and its pretax, Financial Management

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The companys cost of equity is 15 percent and its pretax

Fama's Llamas has a weighted average cost of capital of 9 percent. The company's cost of equity is 15 percent, and its pretax cost of debt is 10 percent. The tax rate is 34 percent. What is the company's target debt-equity ratio?

(Do not round intermediate calculations and round your final answer to 2 decimal places. For example, 1.2345 should be entered as 1.23.)

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Financial Management: The companys cost of equity is 15 percent and its pretax

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Financial Management: The companys cost of equity is 15 percent and its pretax

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