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For a typical firm, which of the following is correct? All rates are after taxes, and assume the firm operates at its target capital structure,
For a typical firm, which of the following is correct? All rates are after taxes, and assume the firm operates at its target capital structure, using new common (e), retained earnings (s) and long-term debt (d), where r indicates rate a. rd re rs WACC b. WACC re rs rd c. re WACC rd. d. WACC rd rs re.
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