If Events a and B Are Not Mutually Exclusive, Then $$P ( A ) + P ( B ) > 1$$

question 91

True/False

If events A and B are not mutually exclusive, then it is possible that $$P ( A ) + P ( B ) > 1$$

Calculate and interpret a firm’s debt-equity ratio and its implications on WACC.

Understand the relationship between beta, market risk premium, risk-free rate, and the cost of equity.

Apply the concept of WACC in investment decision-making processes.

Interpret the effect of taxes on the cost of capital.