The world’s Largest Sharp Brain Virtual Experts Marketplace Just a click Away
Levels Tought:
Elementary,High School,College,University,PHD
| Teaching Since: | May 2017 |
| Last Sign in: | 352 Weeks Ago, 6 Days Ago |
| Questions Answered: | 20103 |
| Tutorials Posted: | 20155 |
MBA, PHD
Phoniex
Jul-2007 - Jun-2012
Corportae Manager
ChevronTexaco Corporation
Feb-2009 - Nov-2016
Question description
Â
Taurus Corporation raises capital by issuing debt and common equity to investors. The company's weighted-average cost of capital (WACC) is 8 percent. Taurus' after-tax cost of debt is 6.5 percent, and its cost of equity is 11.5 percent. Based on the formula for the WACC, Taurus' debt ratio (the percent of debt in Taurus' capital structure) is
Hel-----------lo -----------Sir-----------/Ma-----------dam----------- T-----------han-----------k Y-----------ou -----------for----------- us-----------ing----------- ou-----------r w-----------ebs-----------ite----------- an-----------d a-----------cqu-----------isi-----------tio-----------n o-----------f m-----------y p-----------ost-----------ed -----------sol-----------uti-----------on.----------- Pl-----------eas-----------e p-----------ing----------- me----------- on----------- ch-----------at -----------I a-----------m o-----------nli-----------ne -----------or -----------inb-----------ox -----------me -----------a m-----------ess-----------age----------- I -----------wil-----------l