DougCPA
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Open Question
With respect to WACC, how do you deal with the corporate tax rate if the company has a tax benefit?
I'm looking at Whirlpool, and it had a tax benefit of 20.7% in 2009. But that is the effective tax rate, and WACC uses marginal tax rate. Tax benefits always expire, so if I'm looking into the future, shouldn't I ignore it and use the expected marginal tax rate?
538 day(s) ago
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