This is the name given to the after-tax expected cost of a firm's new debt. What is flotation costs ? What are ? Question 2: $200 When evaluating the trade-offs between alternative weights for the WACC calculation, this type of weight's flaw is the volatility of the observed prices of the securities used to calculate the weights. Question 3: $300 This is the minimum return that must be earned on a firm's investments to ensure that the firm's value does not decrease. What is the ? Question 4: $400 of the three major methods used to generate an estimate of a firm's cost of common equity, this method is the most widely used. What is a(n) What is ? Question 5: $500 This characteristic of investors determines the market risk premium, a firm's cost of common equity, and its WACC