Post Utme Abu 2024 Commerce Question 25

Practice objective / multiple choice question 25 from the 2024 Post Utme Abu Commerce examination.

Post Utme Abu 2024 Commerce Objective / Multiple Choice
Question 25 POST_UTME_ABU • 2024 • COMMERCE • objective

A company has a capital structure consisting of 60% debt and 40% equity. If the cost of debt is 8% and the cost of equity is 12%, what is the weighted average cost of capital (WACC) for the company?

Answer Options

A. 6.4%
Correct Answer B. 7.2%
C. 8%
D. 9.6%
Correct Answer
B
Correct Option:
7.2%

About This Question

This is Post Utme Abu 2024 Commerce Question 25. It is one of the objective questions from the 2024 Post Utme Abu Commerce examination.

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