Clark's Cookies has a return on assets of 15.3 percent and a cost of equity of 17.6 percent. What is the pre-tax cost of debt if the debt-equity ratio is 0.54? Ignore taxes.
A) 8.87 percent
B) 9.29 percent
C) 9.64 percent
D) 10.31 percent
E) 11.04 percent

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The Answer of Clark's Cookies has a return on assets of 15.3 percent and a cost of equity of 17.6 percent. What is the pre-tax cost of debt if the debt-equity ratio is 0.54? Ignore taxes.
A) 8.87 percent
B) 9.29 percent
C) 9.64 percent
D) 10.31 percent
E) 11.04 percent

Clark's Cookies Has a Return on Assets of 15