Jackson Trucking Company is in the process of setting its target capital structure. The CFO believes the optimal debt-to-capital ratio is somewhere between 20% and 50%, and her staff has compiled the following projections for EPS and the stock price at various debt levels:
| Debt/Capital Ratio |
Projected EPS |
Projected Stock Price |
| 20% |
$3.30 |
$34.75 |
| 30 |
3.40 |
35.75 |
| 40 |
3.75 |
36.25 |
| 50 |
3.60 |
33.75 |
At what debt ratio is the company's WACC minimized? Round your answer to two decimal places.