How to estimate the Cost of Equity Capital?
Business

How to estimate the Cost of Equity Capital?

Estimate the Cost of Equity Capital – The cost of capital or required rate for return a firm can be defined as the composite cost…
Difference between Book Value and Market Value
Business

Difference between Book Value and Market Value

Book value is the price paid for a particular asset. This price never changes so long as you own the asset. On the other hand,…
Cost of Preferred Stock
Business

Cost of Preferred Stock

Cost of Preferred Stock Preferred stock is an equity security with properties of both equity and a debt instrument. Cost of preferred stock is the…
Flotation Cost
Business

Flotation Cost

A flotation cost is one of the costs of raising capital which a business might incur. It is most commonly associated with issuing equity securities…
Retain Earnings
Business

Retain Earnings

Retained earnings refer to the portion of net income (or loss) that is retained by a company rather than distributed to its owners as dividends.…
Comprehensive Differentiate between WACC and MCC
Business

Comprehensive Differentiate between WACC and MCC

Comprehensive Differentiate between WACC and MCC – The weighted average cost of capital – The weighted average cost of capital (WACC) is the rate that…
Equity financing does not have any cost – Explanation
Business

Equity financing does not have any cost – Explanation

‘Equity financing does not have any cost’ – Equity financing is the procedure of raising capital through the sale of shares in an enterprise. It…
Existence and growth of a firm depends on its working capital – Explain
Business

Existence and growth of a firm depends on its working capital – Explain

Existence and growth of a firm depends on its working capital –  Working capital is the amount of a company’s current assets minus the number…
Components of Cost of Capital
Business

Components of Cost of Capital

The cost of capital or required rate for return a firm can be defined as the composite cost of the firm’s financing components. The cost…
Importance and Necessity of Cost of Capital
Business

Importance and Necessity of Cost of Capital

Cost of capital: The cost of capital or required rate for return a firm can be defined as the composite cost of the firm’s financing…
Load More