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QUESTION 11 1 points Sav Which of the following statements is CORRECT? O We should use historical measures of the component costs from prior financings

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QUESTION 11 1 points Sav Which of the following statements is CORRECT? O We should use historical measures of the component costs from prior financings that are still outstanding when estimating a company's WACC for capital budgeting purposes. If a company s tax rate increases but the YTM on its bonds remains the same, the after-tax cost of its debt will fal None of these O When calculating the cost of preferred stock, a company needs to adjust for taxes, because preferred stock dividends are deductible by the paying corporation All else equal, an increase in a company's stock price will increase its marginal cost of new common equity, re

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