About this document
Understanding Cost of Capital in Finance by Terefe Dube is a document available to read on EtoBox.
The document discusses the cost of capital. It defines the cost of capital as the minimum rate of return a firm must earn to satisfy investors and maintain the value of the firm. The cost of capital includes the costs incurred by a company when issuing financial assets, such as flotation costs. The cost of capital can be measured specifically for different capital sources like debt, preferred stock, and common stock. Debt generally has the lowest cost while the cost of common stock is the minimum return nee
- Author
- Terefe Dube
- Language
- EN