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    Capital Structure Weights Used to Calculate the WACC

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    How should the capital structure weights used to calculate the WACC be determined?

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    https://brainmass.com/business/weighted-average-cost-of-capital/capital-structure-weights-calculate-wacc-382623

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    How should the capital structure weights used to calculate the WACC be determined?

    Cost of capital is a discount rate representing the sources of funds used by the organization. It affects long-term financial decisions considerably. This will include cost of equity, debt and preferred stock. We will find the weighted average of cost of all the sources of funds.

    As per ...

    Solution Summary

    The solution discusses how the capital structure weights are used to calculate the WACC.

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