GE is a multi-divisional firm that uses its WACC as the discount rate for all proposed projects. Each division is in a separate line of business and each presents risks unique to those lines. Given this, a division within the firm will tend to: Receive less project funding if its line of business is riskier than that of the other divisions Become less risky over time based on the projects that are accepted Have equal probability of receiving funding as compared to the other divisions Prefer higher risk projects over lower risk projects Question 31 1 pts GM has bonds outstanding that mature in 20 years, have a 7 percent coupon, and pay interest annually. These bonds have a face value of $1,000 and a current market price of $1.100. What is the company's aftertax cost of debt if its tax rate is 32 percent? Select the choice that is closest to your answer. 3.24 percent 3.58 percent 4.16 percent 4,87 percent