Question: Topic/Question #1 - On the most basic level, if a firms WACC is 12%, how would you explain that to someone who is new to

Topic/Question #1 - On the most basic level, if a firms WACC is 12%, how would you explain that to someone who is new to corporate finance? In calculating WACC, if you had to use book values for either debt or equity, which would you choose? Why? If you can borrow all the money you need for a project at 6% doesnt it follow that 6% is your cost of capital for the project? Why or why not?

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