Understanding the Cost of Capital (WACC) and its Influence on Valuation
Introduction The cost of capital represents the price a business pays for using financial resources, whether from debt, equity, or a combination of both. It plays a significant role in valuation, which is the process of determining the economic value of a company. A clear grasp of these concepts can help businesses secure the right … Understanding the Cost of Capital (WACC) and its Influence on Valuation