What does it mean if a company WACC doesn't drop much when you drop the...
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What does it mean if a company WACC doesn't drop much when you drop the risk free rate by 5%?
Initial WACC was - 4.85%
then dropped the risk free rate from 0.12% to 0.07%
meaning I also dropped the cost of debt from 0.12% to 0.07% (is this correct)?
Which gave me a new WACC of 4.77% which doesn't seem like a big change to me?
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