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Author Question: Which of the following statements is correct? (Read 10 times)

isam

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on: Aug 7, 2023
Which of the following statements is correct?

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The WACC that should be used in capital budgeting is the firm’s marginal, after-tax cost of capital.


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The after-tax cost of equity is usually less than the after-tax cost of debt.


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Retained earnings that were generated in the past and are reflected on the firm’s balance sheet are generally available to finance the firm’s capital budget during the coming year.


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For a given firm, the after-tax cost of preferred stock is always cheaper than the after-tax cost of debt.

Financial Management: Theory and Practice ¦ Brigham, Ehrhardt, Gessaroli, Nason ¦ 4th Edition
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Marked as best answer by isam on Aug 7, 2023

gwisel

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Reply #1 on: Aug 7, 2023
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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Only 39% of students answer this correctly


isam

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Reply 2 on: Aug 7, 2023
Excellent

mochi09

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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