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What would happen to the firms WACC (increase/decrease) if the companys tax rate increased. Explain your response. What would happen to the firms WACC (increase/decrease)

What would happen to the firms WACC (increase/decrease) if the companys tax rate increased. Explain your response.
What would happen to the firms WACC (increase/decrease) if there was a rally in bond prices. Explain your response.
The company is considering a major acquisition, and one of your co-workers cites the large cost difference between debt and equity, and suggests the acquisition be financed entirely by debt due to its significantly lower cost. Do you agree? Or disagree? Explain your response.

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