Cost of capital may be defined as:

Related MCQs

• A company should arrange the capital structure in such a way that there is maximum flexibility in the capital and cost of capital is
• EVA= ___________ - (Equity capital x % of cost of equity capital
• Cost Capital for Equity Share Capital does not imply that:
• According to MM approach, two identical firms in all respects except their capital structure can not have different market values or cost of capital because of-----
• In optimal capital structure the company’s cost of capital will be
• According to which theory two identical firms in all respect except their capital structure can not have different market value or cost of capital because of arbitrage process
• A company can increase its value and reduce the overall cost of capital by increasing the proportion of debt in its capital structure according to ----- approach
• If the weighting of equity in total capital is 1/3, that of debt is 2/3, the return on equity is 15% that of debt is 10% and the corporate tax rate is 32%, what is the Weighted Average Cost of Capital (WACC)?
• Marginal cost of capital is the cost of:
• Firm's Cost of Capital is the average cost of: