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Fama's Llamas has a weight average cost of a capital of 9.6 percent. The Company cost of equity is 12 percent, and its pretax cost of debt is 7.9 percent. The tax rate is 35 percent. what is the company's target debt-equity ratio?
Basic Finance, Finance
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Explain why monetary policymakers' actions in cutting the Federal Funds rate to almost zero were not sufficient to boost economic activity during the recession of 2007-2009.
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