Results 21 to 30 of about 14,168 (197)
Estudios de Administración, 2005 When discounting free-cash flows (FCF) at the Weighted Average Cost of Capital (WACC), we assume that the cost of debt is the market, unsubsidized rate. With debt at the market rate and perfect capital markets, debt only creates value in the presence of ...
Ignacio Vélez-Pareja +2 more
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A look at the actual cost of capital of US firms
Cogent Economics & Finance, 2016 The capital asset pricing model (CAPM) receives both criticism and widespread adoption by practitioners and academics as the weighted average cost of capital (WACC) equity component.
David J. Moore
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Journal of Economic and Financial Sciences, 2020 Orientation: Ignoring environmental, social and corporate governance (ESG) aspects exposes firms to risks that diminish value, shrink returns and even lead to failure. Firms considering ESG aspects are perceived as less risky by capital providers.
Ruth Johnson
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Determination of the Weighted Average Cost of Capital (WACC) applied to a COOPAC of Lima Cercado
Journal of business and entrepreneurial studie, 2023 In a context characterized by continuous changes, in which political instability is coupled with the damage caused by cyclone Yaku and the consequences of heavy rainfall that affected large areas of the northern coast of our country during the first three months of 2023.
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Some remarks on the debate on ‘WACC is not quite right [PDF]
, 2016 Miller (2009a) opened a debate in this journal on the correct determination of weighted average costs of capital (WACC). So far Bade (2009), Pierru (2009a), Lobe (2009) as well as Keef, Khaled, and Roush (2012) have contributed to this debate.
Kruschwitz, Lutz +2 more
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Generalization of the Modigliani–Miller Theory for the Case of Variable Profit
Mathematics, 2021 For the first time we have generalized the world-famous theory by Nobel Prize winners Modigliani and Miller for the case of variable profit, which significantly extends the application of the theory in practice, specifically in business valuation ...
Peter Brusov +5 more
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El Impacto del WACC (Weighted Average Cost of Capital) en la valoración de empresas.
Innovando En La U, 2017 El artículo se desarrolla en función de la importancia que tiene el impacto de los métodos para la valoración de empresas, tratando específicamente del WACC; por sus siglas en inglés: Weighted Average Cost of Capital (Promedio Ponderado del Costo de Capital), se ha planteado como interrogante, ¿Cuál es la importancia del WACC (Weighted Average Cost of ...
Geraldine Cala Ibáñez +2 more
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Required Rates of Return for Corporate Investment Appraisal in the Presence of Growth Opportunities [PDF]
, 2008 Traditional methods of estimating required rates of return overstate hurdle rates in the presence of growth opportunities. We attempt to quantify this effect by developing a simple model which: (i) identifies those companies that have valuable growth ...
Danbolt, Jo +2 more
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Evaluation of the cost of capital and the discount rate based on the Russian financial statistics
Journal of New Economy, 2023 The cost of capital and the discount rate calculated on its basis are the key parameters in the financial modelling and assessment of investment projects’ economic efficiency.
Dmitry S. Voronov +1 more
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Caveat WACC: Pitfalls in the use of the weighted average cost of capital
Corporate Ownership and Control, 2009 In Discounted Cash Flow valuations, the WACC approach is very popular. Therefore, knowing which limitations the concept inherits is essential. The objective of this paper is thus twofold: First, it is clarified that a constant WACC rate must fail if the implied leverage ratio is time-varying. This seems to be the rationale for defining a nonlinear WACC
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