Which of the following is a correct formula for calculating the cost of capital?
A) WACC = weighted after-tax cost of debt + weighted cost of preference shares + weighted cost of ordinary shares
B) WACC = weighted after-tax cost of debt + weighted after-tax cost of preference shares + weighted after-tax cost of ordinary shares
C) WACC = (after-tax cost of debt + cost of preference shares + cost of ordinary shares ) /3
D) WACC = weighted cost of debt + weighted cost of preference shares + weighted cost of ordinary shares
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