Target debt-equity ratio-what is the company wacc

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Reference no: EM131973769

1. Lannister Manufacturing has a target debt−equity ratio of .40. Its cost of equity is 15 percent, and its cost of debt is 6 percent. If the tax rate is 40 percent, what is the company’s WACC? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

2. Describe factors that affect supply of bonds?

Reference no: EM131973769

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