Compute the value of the standardized test statistic
You wish to test the claim that ? > 33 at a level of significance of ? = 0.05 and are given sample statistics n = 50, x = 33.3, and s = 1.2. Compute the value of the standardized test statistic. Round your answer to two decimal places.
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A firm uses only debt and equity in its capital structure. The firm's weight of equity is 75%. The firm's cost of equity is 16% and it has a tax rate of 30%. If the firm's WACC is 13%, what is the firm's before-tax cost of debt?
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