Question 302 WACC, CAPM
Which of the following statements about the weighted average cost of capital (WACC) is NOT correct?
(a) WACC before tax =rD.DVL+rEL.ELVL
(b) WACC before tax =rf+βVL.(rm−rf)
(c) WACC after tax =rD.(1−tc).DVL+rEL.ELVL
(d) WACC after tax =rf+βVL.(rm−rf)−rD.D.tcVL
(e) WACC after tax =rf+βVL.(rm−rf)