The preferred capital structure weights to be used in the weighted average cost of capital are
A) target weights.
B) historic weights.
C) market weights.
D) nominal weights.

Name: The preferred capital structure weights to be used in the weighted average cost of capital are A) target weights. B) historic weights. C) market weights. D) nominal weights.
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Question

Quizplus · Accepted Answer

Target weights are preferred because they reflect the company's desired capital structure for future financing decisions.

The Preferred Capital Structure Weights to Be Used in the Weighted