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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › March June 2016 Q 3 Staple Group
Hey John
There are many threads regarding staple group already, but my doubt is that since Staple View is valued wit FCF to Equity why is it discounted with wacc and not ke like the textbook? is it just because ke is not given or are there any other reasons/assumptions
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It is because the question specifically says to use a cost of capital of 12% (couple with the fact that we have no information about the cost of debt).