Weighted average cost of capital (WACC) \ Expected return on a portfolio of all the firms securities. Used as a hurdle rate for capital investment. Often the weighted average of the cost of equity and the cost of debt The weights are determined by the relative proportions of equity and debt in a firms capital structure.
Weighted average cost of capital (WACC) / expected return on a portfolio of all the firms securities. used as a hurdle rate for capital investment. often the weighted average of the cost of equity and the cost of debt the weights are determined by the relative proportions of equity and debt in a firms capital structure.