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QUESTION 7 The AAA Company has a debt to total value ratio of 0.5. The cost of debt is 8 percent and that of unlevered
QUESTION 7 The AAA Company has a debt to total value ratio of 0.5. The cost of debt is 8 percent and that of unlevered equity is 12 percent. Which statements are correct? Select all that apply. The weighted average cost of capital is 12 percent if the tax rate is 30 percent The weighted average cost of capital is 14.8 percent if the tax rate is 30 percent. The return on assets is 16 percent The return on assets is 12 percent The weighted average cost of capital is 12 percent if the test rate is 30 percent
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