Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Weighted Average Cost of Capital
Weighted Average Cost of Capital or WACC is also called the overall or composite cost of capital. Since various capital components have different percentage cost, it is significant to determine a single average cost of capital attributable to different costs of capital. This can be determined on the basis of percentage cost of each capital component.
Market value weight or proportion of every capital component.
W.A.C.C = Ke (E/V) + Kp (P/V) + Kd (1+T) (D/V)
Whereas: Ke, Kp and Kd = Percentage cost of equity, preference debate capital and share capital respectively
E, P and D = Market value of equity, preference share capital and debt capital respectively.
NB: Market value = Market price of a security x Number of securities.
V = Total market value of the firm = E + P + D.
Taxation Position and Profitability & Liquidity Profitability and liquidity A company's capacity to pay dividend will be determined primarily with its capability to creat
Matching Approach - Financing Current Assets This approach is further referred to as the hedging approach. Beneath this approach, the firm adopts a financial plan that involve
J inherited 30000 & decides to open a hair salon.make arrangements 1/4/1016 commits 10000 to the business Opens an a/c under j hair salon What will be the amount under capital in
expression of underlying asset''s price at maturity T for lookback option.
I need to understand a practice question for exam, but I only have a partial solution. I need a more detailed solution, so can understand how to arrive at the answer. The problem
on may 1, counts, inc has a balance of $1000 in office supplie. during may the company buys $500 more of the office supplies. on may 31 the company counts the supplies and finds 20
Management of Sole Proprietorship In sole proprietorship the owner is usually in charge of day to day running of the business. If the business is large he may give some duties
Disadvantage of Joint Stock Companies Difficult to reconstruct the capital Many formalities in forming the company Heavy initial capital outlay. Loss of secrec
Agency Theory An agency relationship arises whether one or more parties identified the principal contracts or hires another identified an agent to perform on his behalf some
why borrow from a country with a high interest rate instead of a country with a low interest rate
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd