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3. The cost of capital is equal to required rate of return on equity in the case investors are only* O a. Valuation manager O

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3. The cost of capital is equal to required rate of return on equity in the case investors are only* O a. Valuation manager O b. Common stockholders O c. Asset sellers d. Equity dealers O e. None of the above 4. The weighted average of the firm's costs of equity, preferred stock, and after tax debt is the: * a. Reward to risk ratio for the firm, O b. Expected capital gains yield for the stock, c. Expected capital gains yield for the firm. d. Weighted average cost of capital (WACC). e. None of the above

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