Aes Cost Of Capital Case Solution
With electrical energy producing organisations around the globe, AES Corp. is looking for an approach for determining the costs of capital for its different organisations and possible jobs. Over the last, AES utilized the exact same cost of capital for all its capital budgeting, however the business's global growth has actually raised questions about this method and whether a single cost of capital properly represents the various dangers AES deals with in its varied services and varied settings. The business just recently endured heavy losses from currency declines in South America and regulative modifications in other nations. The director of the business preparation group is establishing an approach for appraising various nation and job dangers, and the case permits trainees to utilize this method to determine the cost of capital for 15 various tasks all over the world. Trainees should think about how a worldwide company can represent varying dangers in assessing its global procedures and in investing abroad. To get executable spreadsheets (courseware), please contact our customer care department.
This is just an excerpt. This case is about Business