One Should Determine the After-Tax Weighted Average Cost of Capital

question 49

Multiple Choice

One should determine the after-tax weighted average cost of capital by

• A)multiplying the weighted average after-tax cost of debt by the weighted average cost of equity.
• B)adding the weighted average before-tax cost of debt to the weighted average cost of equity.
• C)adding the weighted average after-tax cost of debt to the weighted average cost of equity.
• D)dividing the weighted average before-tax cost of debt to the weighted average cost of equity.

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Definitions:

Vestibular Senses

The sensory system that provides the leading contribution to the sense of balance and spatial orientation for coordinating movement with balance.

Proprioceptive Feedback

The sensory information received from within the body that helps one to understand the position and movement of muscles and limbs, contributing to the sense of body position and movement.

Kinesthetic

Refers to the sense that detects bodily position, weight, or movement of the muscles, tendons, and joints.

Vestibular

Relating to the inner ear system that helps control balance and eye movements.