Why is the after-tax cost of debt rather than the before-tax cost used to calculate the WACC?

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Fundamentals Of Financial Management

ISBN: 9780357517574

16th Edition

Authors: Eugene F. Brigham, Joel F. Houston

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Question Posted: Feb 26, 2024 10:01 AM

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Why is the after-tax cost of debt rather than the before-tax cost used to calculate the WACC?

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The Weighted Average Cost of Capital WACC is a financial metric used to assess the overall cost of f...View the full answer

Fundamentals Of Financial Management

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