Describe how the weighted average cost of capital wacc is

Reference no: EM13392592

Continue your research about the selected organization (selected organization is Coca Cola) and determine its cost of capital. In your evaluation, be sure to address the following:

Describe how the weighted average cost of capital (WACC) is calculated in your selected organization. Evaluate the effectiveness of this approach.

Would it be appropriate to use WACC as a discount rate for capital budgeting analysis? Explain why or why not.

Keeping in mind your selected organization's current operations, as well as trends in the national economy and the organization's industry, what changes, if any, would you recommend in your selected organization's approach towards determining its cost of capital? How would you adjust the discount rate for riskier projects? Justify your method.

Reference no: EM13392592

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