In Order to Calculate the Present Value of Debt Tax

question 30

Multiple Choice

In order to calculate the present value of debt tax savings, the _______ is used as the discount rate.

• A) WACC
• B) risk-free rate
• C) required rate of return on debt
• D) none of the above

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Definitions:

Reinforcer

Any stimulus that strengthens or increases the likelihood of a specific response or behavior by being presented immediately after that response or behavior.

Effectiveness

The degree to which a method, intervention, or action achieves its intended outcome or result.

Stimulus Control

The process by which behaviors are increased or decreased in the presence of specific stimuli, indicating that those stimuli have control over the occurrence of those behaviors.

Antecedent Stimuli

Environmental cues or events that occur before a behavior, which can trigger or influence the occurrence of that behavior.