Problemfamas llamas has a wacc of 102 percent the companys, Ask an Expert

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Problem:

Fama's Llamas has a WACC of 10.2 percent. The company's cost of equity is 13 percent, and its cost of debt is 7 percent. The tax rate is 35 percent.

Required:

Question: What is Fama's target debt-equity ratio?

Note: Can someone please give me a step by step solution?

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Category:- Basic Finance
Reference No.:- M91174685

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