Why is the cost of capital measured on an after-tax basis? Why is use of a weighted

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Why is the cost of capital measured on an after-tax basis? Why is use of a weighted average cost of capital rather than the cost of the specific source of funds recommended?

Cost Of Capital
Cost of capital refers to the opportunity cost of making a specific investment . Cost of capital (COC) is the rate of return that a firm must earn on its project investments to maintain its market value and attract funds. COC is the required rate of...
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Principles of managerial finance

ISBN: 978-0132479547

12th edition

Authors: Lawrence J Gitman, Chad J Zutter

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