Higher gearing minimizes the WACC, but It's not normally the case. At times the personal debt financing is superior ample that case the increase in the price of equity nullify the debt financing impact on WACC or often it increases the WACC in case of bigger financial debt funding. https://casestudysolution23851.blogdon.net/indicators-on-hbr-case-study-analysis-you-should-know-50620323