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How to convert a given before tax cost of capital into an after tax cost of capita please?
the given before rate *(1-t)?
thanks
Yes, you do multiply by (1-T).
However, for other questions do appreciate that normally (if it redeemable debt) and we are not given the pre-tax cost of capital, then we need to calculate the IRR of the after tax flows, as explained in detail in my free lectures.
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