紫同学2018-02-28 08:29:15

8. The Gearing Company has an after-tax cost of debt capital of 4 percent, a cost of preferred stock of 8 percent, a cost of equity capital of 10 percent, and a weighted average cost of capital of 7 percent. Gearing intends to maintain its current capital structure as it raises additional capital. In making its capital-budgeting decisions for the average-risk project, the relevant cost of capital is: A. 4 percent. B. 7 percent. C. 8 percent. 麻烦老师讲解一下，谢谢！