What Is Ningbo Shipping's WACC If It's After Tax Cost

question 24

Multiple Choice

What is Ningbo Shipping's WACC if it's after tax cost of debt is 3.5%, it's cost of retained earnings is 14%, and the firm's market value of debt is $40 million while the market value of its equity is $60 million?

• A) 9.8%.
• B) 3.5%.
• C) 11.8%.
• D) 14.7%.

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Definitions:

Sexual Selection

A natural selection process where individuals select mates based on certain traits, affecting the reproductive success of individuals.

Hawaiian Swordtail Crickets

A species or group of crickets native to Hawaii, known for unique traits such as their distinctive tail-like appendages.

Reproductive Barrier

Biological features or mechanisms that prevent species from breeding with each other, maintaining species distinctiveness.

Gametic Incompatibility

Occurs when sperm or pollen from one species fails to penetrate and fertilize the egg or ovule of another species.