Case WD 12-1 Jen Has Just Finished a Successful Fundraising

question 745

Multiple Choice

Case WD 12-1 Jen has just finished a successful fundraising campaign to raise money for the preservation of a local lake in her area. She wants to send thank you letters to all the people who contributed to the campaign, and plans to use Word's mail merge feature to do this. Jen has created a Word document that has the text and formatting which she wants to include in all of the letters and which would stay the same for all the letters. This document is her ____.

• A) data source
• B) main document
• C) filter document
• D) switch document

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Definitions:

WACC

Weighted Average Cost of Capital (WACC) is the rate that a company is expected to pay on average to all its security holders to finance its assets.

Cost of Equity

Cost of equity is the return a company requires to decide if an investment meets capital return requirements and can be seen as the return on equity that shareholders expect for their investment risk.

Flotation Cost

The total costs incurred by a company in issuing new securities, including underwriting, legal, registration, and other expenses.

Cost of Capital

The rate of return a company must pay to its shareholders and debt holders, representing the cost of obtaining funds to finance its operations.