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The WACC: Is equal to the cost of debt or equity, depending on which type of financing the firm uses the most. Depends on the
The WACC: Is equal to the cost of debt or equity, depending on which type of financing the firm uses the most. Depends on the source of the funds used for a particular project. Is the return required on a project to compensate investors for the use of their funds. Will be the same for a firm's different divisions as long as they have different degrees of risk. Is also known as the modified internal rate of return (MIRR)
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