THE SCHADENFREUDE CORPORATION HAS AN OPTIMAL DEBT RATIO OF 50 PERC...

22. - BT THANH TOAN QUOC TE MULTINATIONAL FINANCIAL MANAGEMENT DAP AN
BT THANH TOAN QUOC TE MULTINATIONAL FINANCIAL MANAGEMENT DAP AN
22. The Schadenfreude Corporation has an optimal debt ratio of 50 percent. Its cost of equity capital is 12 percent and its pre-tax borrowing rate is 8 percent. Given a marginal tax rate of 34 percent, calculate the weighted average cost of capital. a. 10 percent b. 6.6 percent c. 8.64 percent d. None of the above