Answer:
40% or 0.4
Step-by-step explanation:
The optimal capital structure (OCS) of a firm is defined as "the proportion of debt and equity that results in the lowest weighted average cost of capital (WACC) for the firm"
The brief explanation of this is that OCS is the factor used by a company in maximising their stock price, and this generally calls for a Debt-to-capital or "Debit-to-equity" ratio.
From the table above, the company's stock ratio is highest or maximised at 37.75 (under Projected Stock Price Column)
This can be traced to 40% under Debt/Capital ratio column
Hence, the Debt/Capital Ratio of 40%,
Because it must equate to 100%, we say that the firm's optimal capital structure is 40% debt and 60% equity.
This is also the debt to capital ratio, where the firms WACC is minimized.
3.375 would be the answer, exponents with decimals is the same as regular exponents, just multiple the base number times the exponent you are working with
Eleven over 20. It's eleven over 20. They said my answer needs to be more than 20 characters is why I'm continuing writing
On Thursday is when DEF did better than it's average . Why? Because they were on time 10 flights and only delayed 1 flight .
