Question: Select all that are true regarding the weighted average cost of capital a ) It changes with capital structure b ) The cost of debt
Select all that are true regarding the weighted average cost of capital
a It changes with capital structure
b The cost of debt is usually less than the cost of equity due to the relative risk to the investor
c The cost of debt is a weighted average over the various debt issued by the firm
d The actual cost of debt is less than the nominal contract cost
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