Most companies use target percentages for debt common, Financial Management

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Most companies use target percentages for debt common

Most companies use "target" percentages for debt, common equity and preferred equity in their capital structure. Should a WACC calculated using these target weights be used, or a WACC calculated using the weights for the actual sources of captial for the specific project be used? Explain what do you think?

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Financial Management: Most companies use target percentages for debt common

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