The overall cost of capital for a retail store: A reflects the return investors require on the total assets of the firm. B remains constant even when the debt-equity ratio changes. C is unaffected by changes in corporate tax rates. D is equivalent to the after-tax cost of the firm’s liabilities.
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The overall cost of capital for a retail store:
A reflects the return investors require on the total assets of the firm.
B remains constant even when the debt-equity ratio changes.
C is unaffected by changes in corporate tax rates.
D is equivalent to the after-tax cost of the firm’s liabilities.
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