Question: We know that manager strive to achieve the lowest possible weighted average cost of capital. However, this can be as much of an art as
We know that manager strive to achieve the lowest possible weighted average cost of capital. However, this can be as much of an art as a science. What strategies would you employ to estimate the required rate of return equity investors will demand at given levels of leverage? How would you monitor the results of your capital structure decisions after the fact?
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