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7. Match the following terms with their definitions: (8p) Terms Definitions Opportunity Cost The target mix of sources of funds that the firm uses when raising new money to invest in the firm. Financial A weighted average of the required rates of return of the firm's sources of capital (after adjusting for flotation costs and tax considerations) The expenses that a firm incurs when raising funds by issuing a particular type of security- The cost of a choice in terms of the best alternative foregone. Policy Cost of Capital Transaction Costs