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Which statement is correct regarding WACC? A) WACC is only useful for firms that utilize debt and cannot be applied to all equity firms B)

Which statement is correct regarding WACC?

A) WACC is only useful for firms that utilize debt and cannot be applied to all equity firms

B) WACC represents the firm's cost of capital factoring both the rates of debt and equity and utilization of debt and equity

C) The firm with the lowest cost of equity will always have lowest WACC

D) The firm with the lowest cost of debt will always have the lowest WACC

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