Question: When we calculate WACC, what is (1-t) stand for? (Points: 5) The cost of debt and equity go down as much as the tax amount

When we calculate WACC, what is (1-t) stand for? (Points: 5)

When we calculate WACC, what is (1-t) stand for? (Points: 5) The cost of debt and equity go down as much as the tax amount because they are tax deductible Taxes are reduced by the amount of the interest for debt Taxable income is reduced by the amount of the debt. Taxable income is reduced by the amount of the interest OCost of debt and equity are not taxed

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