单词 | cost of capital |
释义 | cost of capital in Finance (kɔst əv kæpɪtəl) noun (Finance: Investment) weighted average cost of capitalThe cost of capital is how much it costs to borrow money with interest or issue securities to raise money. It is the cost of capital that influences the behavior of savers and investors and that is relevant for judgingthe efficiency of the tax system. The manager must determine whether the net present value of the investment to theenterprise is positive using the marginal cost of capital that is associated with the particular area of business. The cost of capital is how much it costs to borrow money with interest or issue securities to raise money. |
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