Why is the (1-tax rate) in the WACC? How does the government pay the tax rebate on

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Why is the (1-tax rate) in the WACC? How does the government pay the tax rebate on interest - through a flow or in the rate?

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Entrepreneurial Finance

ISBN: 978-1285425757

5th edition

Authors: J. Chris Leach, Ronald W. Melicher

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Question Posted: Aug 03, 2016 08:12 AM

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Why is the (1-tax rate) in the WACC? How does the government pay the tax rebate on

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The 1tax rate is included in the WACC to provide for the tax savings the firm receives ...View the full answer

Entrepreneurial Finance

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