12. The cost of debt can be given as a before-tax or after-tax amount. The cost of equity is always given as:

Select one:

a. A before-tax amount by convention.

b. A before-tax amount since dividends and buybacks are subtracted on the 'Profit and Loss' before calculating taxes.

c. A before-tax amount to be consistent with how yields to maturity on debt are normally stated.

d. An after-tax amount by convention.

e. An after-tax amount since dividends and buybacks are subtracted after calculating taxes in the income statement.