Solution-Which would tend to decrease a firm weighted

Which would tend to decrease a firm weighted average cost

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Problem 1: Which of the following would tend to decrease a firm's weighted average cost of capital, all else being equal?

Option 1: Increasing the use of equity financing relative to debt financing.

Option 2: An increase in the money supply.

Option 3: An increase in investor risk aversion.

Option 4: An increase in market interest rates.

Option 5: None of the above.

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Which would tend to decrease a firm weighted average cost

Reference no: EM132952474

Reference no: EM132952474

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