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Which of the Following Is NOT a Step in the WACC

Question 82

Multiple Choice

Which of the following is NOT a step in the WACC valuation method?


A) Compute the weighted average cost of capital.
B) Discount the incremental free cash flows of the investment using the weighted average cost of capital.
C) Determine the incremental free cash flows of the investment.
D) Determine the mean weighted average cost of capital for the firm's industry.

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