
Fundamentals of Financial Management, Concise Edition (with Thomson ONE - Business School Edition, 1 term (6 months) Printed Access Card) (MindTap Course List)
8th Edition
ISBN: 9781285065137
Author: Eugene F. Brigham, Joel F. Houston
Publisher: Cengage Learning
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Please provide solution this financial accounting question

Transcribed Image Text:GM has a book value of $8 billion of equity and a face value
of $12 billion of debt. What are the weights in equity and debt
that are used for calculating the WACC?
a. 0.4, 0.6.
b. 0.6, 0.4.
c. cannot be determined.
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