This note is an introduction to the cost of capital used in the analysis of discounted cash flow valuation. The note addresses the basic financial and economic principles and practical problems that arise in calculating the cost of capital, especially WACC. He concludes with a warning information on the calculation and application of the WACC. A note for students, MBA graduates and managers learning the basic cases for business valuation and capital budgets. "Hide
by Timothy A. Luehrman 11 pages. Publication Date: November 20, 2009. Prod. #: 210037-PDF-ENG