Did these infusions disrupt the normal cost of capital

Reference no: EM13301986

During the "Financial Crisis of 2008," some firms found it harder to borrow capital due to tighter risk and return constraints. During the same time, General Motors, Chrysler, and several financial institutions were given granted low interest infusions of capital to prevent bankruptcy. Discuss the effects on the "Weighted Average Cost of Capital" for the firms that received these capital infusions. Did these infusions disrupt the normal cost of capital for other firms?

Reference no: EM13301986

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