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The Firm's Weighted Average Capital Cost Is the Cost of Capital

Question 54

Multiple Choice

The firm's weighted average capital cost is the cost of capital that reflects


A) the combined risk of the firm's equity and debt.
B) the combined risk of the firm's capital assets and current assets.
C) the combined risk of the firm's current assets and current liabilities.
D) the combined risk of the firm's fixed cost and variable cost.

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