1. Why do you think it is important to use the market values of debt and equity, rather than book values, to calculate a fi rm’s WACC? 2. What are the three main lessons learned about choosing the...

1. Why do you think it is important to use the market values of debt and equity, rather than book values, to calculate a fi rm’s WACC?

2. What are the three main lessons learned about choosing the right discount rate for use in evaluating capital budgeting projects?

May 26, 2022