An Estimated WACC Computed Using Some Sort of Proxy for the Average

question 80

Multiple Choice

An estimated WACC computed using some sort of proxy for the average equity risk of the projects in a particular business unit is known as the

• A) business unit WACC
• B) pure-play beta
• C) divisional WACC
• D) component cost

---

Definitions:

Endocrine System

A network of glands and organs that produce, store, and secrete hormones directly into the circulatory system to regulate body functions.

Nervous System

The network of nerve cells and fibers that transmits nerve impulses between parts of the body, overseeing both voluntary actions and involuntary responses.

Electrical

Pertaining to the science of electricity, involving the study and application of electrical energy, phenomena, and properties.

Chemical

A chemical is a substance composed of matter that has a constant composition and characteristic properties.