What percentage of companys capital structure consists

Reference no: EM13303114

Hook Industries' capital structure consists solely of debt and common equity. It can issue debt at rd = 8%, and its common stock currently pays a $1.75 dividend per share (D0 = $1.75). The stock's price is currently $24.25; its dividend is expected to grow at a constant rate of 9% per year; its tax rate is 40%; and its WACC is 15.70%. What percentage of the company's capital structure consists of debt? Round your answer to two decimal places.

Reference no: EM13303114

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