Which of the Following Is NOT a Step in the WACC

question 2

Multiple Choice

Which of the following is NOT a step in the WACC valuation method?

• A)Compute the weighted average cost of capital.
• B)Discount the incremental free cash flows of the investment using the weighted average cost of capital.
• C)Determine the mean weighted average cost of capital for the firm's industry.
• D)Determine the incremental free cash flows of the investment.

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