A Firm Has a Weighted Average Cost of Capital of 11.28

question 88

Multiple Choice

A firm has a weighted average cost of capital of 11.28 percent and a cost of equity of 14.7 percent.The debt-equity ratio is .72.There are no taxes.What is the firm's cost of debt?

• A)6.53 percent
• B)6.27 percent
• C)6.44 percent
• D)7.23 percent
• E)7.08 percent

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Definitions:

Pregnancy-Based Discrimination

Discrimination faced by individuals due to pregnancy, childbirth, or related medical conditions, often prohibited under various employment laws.

Title VII

A clause in the Civil Rights Act of 1964 designed to eliminate employment discrimination stemming from a person's race, complexion, religious affiliation, sex, or birthplace.

Hostile Work Environment

A workplace situation where an employee experiences discrimination or harassment that makes the work environment intimidating, hostile, or abusive.

Sexual Harassment

Unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature that affects an individual's employment, interferes with work performance, or creates a hostile work environment.