The stocks price is currently 2225 its dividend is expected


WACC and Percentage of Debt Financing Hook Industries' capital structure consists solely of debt and common equity. It can issue debt at r_d 9%, and its common stock currently pays a $2.25 dividend per share (D_0 = $2.25).

The stock's price is currently $22.25, its dividend is expected to grow at a constant rate of 8% per year, its tax rate is 35%, and its WACC is 13.55%.

What percentage of the company's capital structure consists of debt? %

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Financial Management: The stocks price is currently 2225 its dividend is expected
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