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  3. Study Set
    Financial Management Theory Study Set 6
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    Exam 9: The Cost of Capital
  5. Question
    The <U>before-Tax</u> Cost of Debt, Which Is Lower Than the <U>after-Tax</u>
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The before-Tax Cost of Debt, Which Is Lower Than the after-Tax

Question 31

Question 31

True/False

The before-tax cost of debt, which is lower than the after-tax cost, is used as the component cost of debt for purposes of developing the firm's WACC.

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