Weighted Average Cost of Capital (WACC) determines firms cost of capital from the following:
1. Cost of Equity (Re), Cost of Debt (Rd), Tax Rate and Leverage
2. Cost of Equity (Re), Cost of Debt (Rd), Tax Rate, Book Value of Debt and Market Value of Equity
3. Risk Free Interest Rate, Equity Beta, Market Risk Premium (MRP), Cost of Debt (Rd), Tax Rate and Leverage
4. Risk Free Interest Rate, Equity Beta, Market Risk Premium (MRP), Cost of Debt (Rd), Tax Rate, Book Value of Debt and Market Value of Equity
Default Effective Tax rate is 35%.