Wd X The weighted Average Cost of Capital: WACC - Wexlegurity . Wp X preferred stock Debt (1-1.). The below is true about the WACC calculation EXCEPT Select one: a. The cost of debt (Deb) is multiplied by (1 - TC) because interest expense is tax- deductible O b. The market values of equity & debt (and not the book values) are used in determining the weights of equity (we) & debt (wo). O cIt incorporates the cost of equity and cost of debt O d. It incorporates cost of debt only and not cost of equity The below is Ime about the Reta in the Capital Accotc Pricing AD