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lbsusugar lbsusugar
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When conducting discounted cash flow (DCF) valuation using free cash flow to equity, the appropriate discount rate is

▸ risk-adjusted cost of equity of the target firm.

▸ weighted average cost of capital of the acquiring firm.

▸ weighted average cost of capital of the target firm.

▸ risk-adjusted cost of equity of the acquiring firm.
Textbook 
Corporate Finance

Corporate Finance


Edition: 5th
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jp50jp50
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