Question: A firm only uses debt and equity capital in its capital structure. The weighted average cost of capital is defined as the weighted average of

A firm only uses debt and equity capital in its capital structure. The weighted average cost of capital is defined as the weighted average of a firm's:

return on its investments.

cost of equity and its aftertax cost of debt.

pretax cost of debt and equity securities.

bond coupon rates.

dividend and capital gains yields.

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