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CIMA Exam CIMAPRA19-F02-1 Topic 1 Question 82 Discussion

Actual exam question for CIMA's CIMAPRA19-F02-1 exam
Question #: 82
Topic #: 1
[All CIMAPRA19-F02-1 Questions]

Which of the following best describes the goal of WACC as a measure?

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Suggested Answer: A

Contribute your Thoughts:

Lorrie
5 months ago
I believe WACC aims to satisfy both shareholders and debt holders. Option D doesn't make sense because we want to meet the required return, not just the minimum.
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Mira
5 months ago
I'm not sure. I think it might be only about satisfying the shareholders. Maybe option B is correct?
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Maryann
5 months ago
I agree with Pamella. Option A seems to be the best description as it considers both shareholders and debt holders.
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Pamella
5 months ago
I think the goal of WACC is to calculate the average return required by the company for all shareholders and debt holders.
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Veronika
5 months ago
I still think option A is more accurate because it mentions the average return specifically.
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Becky
5 months ago
But what about option D? It mentions satisfying both shareholders and debt holders.
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Arthur
6 months ago
I agree with Veronika, option A makes sense.
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Veronika
6 months ago
I think the goal of WACC is to satisfy both shareholders and debt holders.
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