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2013 CFA level 2 Schweser Practice Exam 1 Morning session No 20

Why does the WACC's calculation not including the tax effect on cost of debt?
Shouldn't the WACC = 0.5*0.085+0.5*0.045*(1-0.3)?

not sure, it is confusing me as well...   can some expert answer?

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注意区别cost of debt 和 interest of debt

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do you mean cost of debt is always after tax???

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