Question: . Which one is the correct statement about the cost of capital? [ A. The cost of capital is the amount of principal a firm

 . Which one is the correct statement about the cost of

. Which one is the correct statement about the cost of capital? [ A. The cost of capital is the amount of principal a firm borrowed from a bank or some other financial institution The cost of capital is the expected rate of return that shareholders can obtain in the financial markets on investments with the same risk as the firm's capital investments. The cost of capital is the maximum acceptable rate of return on a project. he cost of capital is always less than 10%. 1

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