"Weighted Average Cost of Capital is the return a firm must earn on existing assets to keep its stock price constant and satisfy its creditors and owners."
That quote is from
http://en.wikipedia.org/wiki/Weighted_average_cost_of_capital
You may be able to find more help at that site. It is not an area I am familiar with.
why is WACC important to an organization?
b. What impact does WACC have on capital budgeting and structure?
1 answer