Respected sir in chapter 16 THE VALUATION OF AUDITIONS AND MERGERS" in example 3 we have not calculated tax relief for companies on debt?
Beacuse WACC calculated on 7% not on 7(1-t) ?
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6y ago#1The question states that the cost of debt is 7% and is therefore assumed to be the cost to the company and therefore already after tax relief.
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