Title English:
weighted average cost of capital
Acronym English:
WACC
Definition English:
Weighted average cost of capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is proportionately weighted. All sources of capital, including common stock, preferred stock, bonds and any other long-term debt, are included in a WACC calculation. A firm’s WACC increases as the beta and rate of return on equity increase, as an increase in WACC denotes a decrease in valuation and an increase in risk.
Title Arabic:
معدل التكلفة المرجحة لرأس المال
Domain:
Economic Development
Subject:
Economic Statistics
InformationType:
Term
SourceSymbol:
language staff
Link: