Question: Round your final answer to 4 decimal places. Do not enter your answers in percentage. All answers are in decimal. Which of the following is

Round your final answer to 4 decimal places. Do not enter your answers in percentage. All answers are in decimal. Which of the following is correct. Interest expense is excluded in cash flow estimation when using the WACC approach because:

A. interest expenses are not tax dedcutible.

B. interest expenses are incorporated in the cost of capital.

C. interest expenses are tax deductible.

D. interest expenses are financing cash flows.

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