How does a firm tax rate affect cost of capital

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Reference no: EM132848426

Question 1: Why do firms calculate their weighted average cost of capital?

Question 2: In computing the cost of capital, which sources should be considered?

Question 3: How does a firm's tax rate affect its cost of capital? What is the effect of the flotation costs associated with a new security issue on a firm's weighted average cost of capital?

Attachment:- Firms tax rate.zip

Reference no: EM132848426

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