Which of the following statements is not correct?
A. The cost of capital is required rate of return to ascertain the value of the firm
B. Different sources of funds have a specific cost of capital related to that source only
C. Cost of capital does not comprise any risk premium
D. Cost of capital is basic data for NPV technique
Answer: Option C
Related Questions on Miscellaneous in Commerce
A. Expenditure for the business
B. Cost for the business
C. Gain for the business
D. None of the above
Which of these items would be accounted for as an expense?
A. Repayment of bank loan
B. Dividend to stock holders
C. The purchase of land
D. Payment of current period rent
Debit the receiver credit the giver rule for:
A. Real a/c
B. Personal a/c
C. Nominal a/c
D. None of these

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