PracticeQuiz content is free on an ad-supported model.

Unfortunately, we can't support ad blocker usage because of the impact on our servers. If you'd like to continue, please disable your ad blocker and reload page.

Reload page

Consulting Case Interview Practice Questions

Category - Facts to Know

Start a Study Session Sign up for Question of the Day

Which is a sensible number to use as weighted average cost of capital (WACC) for a company in the S&P 500?

Explanation

Answer: C - WACC increased substantially due to the financial meltdown, however 10% is a reasonable number to use. All the other choices are too high or too low.

Key Takeaway: Adjust up for companies that have liquidity problems or high cost of borrowing.

Previous Next

Was this helpful? Upvote!

Start a Study Session Sign up for Question of the Day

Most popular on PracticeQuiz

157 votes

An 8-year-old boy named Albert has a 10-year-old brother named Benny. Benny joins the service at 20 leaving Albert feeling bitter that he no longer has a brother to look up to. After 7 years, Albert is finally ready to make up with Benny who has been out of the service for 5 years. How old is Albert now? GED Exam Prep: Math
120 votes

The lymphatic system contains four organs: Medical Coding Exam Prep
79 votes

Using motivation from ‘within’ is called ______________. CPCE Exam Prep
74 votes

“A set of specialized organizational capabilities for providing value to customers in the form of services” is the official definition of: IT Service Management Foundation Practice Test
72 votes

Which are the most serious adverse effects associated with Lithium? MACE Medication Assistant Exam Prep

Consulting Case Interview Practice Questions

Top questions

Related questions

Most popular on PracticeQuiz

Ad-Blocker not supported

Consulting Case Interview Practice Questions

Top questions

Related questions

Most popular on PracticeQuiz