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Question 2 3 pts What weights should ideally be used in estimating WACC? O target values book values O market values O actual financing used
Question 2 3 pts What weights should ideally be used in estimating WACC? O target values book values O market values O actual financing used values Question 4 3 pts Detroit acquired Dearborn and financed the 100% of the acquisition cost by issuing bonds. After-tax YTM of Bond = 8.50% . WACC (current capital structure) = 15.00% . WACC (target capital structure) = 12.50% Which is the correct discount rate to be used for valuing this project? 8.50% 12.50% 15.00% Question 5 3 pts Troy is acquiring Coffee House chain for its Restaurant division. Which is the most appropriate WACC for valuing Coffee House? O WACC of the Troy Corporation O WACC of the "Restaurant" division of Troy O WACC used in the most recent acquisition of Troy corporation O WACC based on Reataurant Division operating the Coffee House
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