Neco Model Questions Vol1 2023 Commerce Question 13
Practice objective / multiple choice question 13 from the 2023 Neco Model Questions Vol1 Commerce examination.
A firm raises capital through 60% equity at a cost of 15% per annum and 40% debt at a nominal interest rate of 10% per annum. The corporate tax rate is 30%, and interest on debt is tax‑deductible. Calculate the firm's weighted average cost of capital (WACC) after tax, expressed as a percentage.
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About This Question
This is Neco Model Questions Vol1 2023 Commerce Question 13. It is one of the objective questions from the 2023 Neco Model Questions Vol1 Commerce examination.
Difficulty level: Medium .
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