Triangle Enterprises has no debt but can borrow at 8 percent.The firm's WACC is currently 13.2 percent, and there is no corporate tax.If the firm converts to 30 percent debt, what will its cost of equity be?
A)16.67 percent
B)12.95 percent
C)14.47 percent
D)16.39 percent
E)15.43 percent

Question

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The Answer of Triangle Enterprises has no debt but can borrow at 8 percent.The firm's WACC is currently 13.2 percent, and there is no corporate tax.If the firm converts to 30 percent debt, what will its cost of equity be?
A)16.67 percent
B)12.95 percent
C)14.47 percent
D)16.39 percent
E)15.43 percent

Triangle Enterprises Has No Debt but Can Borrow at 8