Reviewed by Margaret James Fact checked by Vikki Velasquez Companies and investors review the weighted average cost of capital (WACC) to evaluate the returns that a firm needs to realize to meet all ...

WACC is important for both investors and companies. Reviewed by Samantha Silberstein. Fact checked by Vikki Velasquez. There ...

Weighted average cost of capital (WACC) is a key metric that shows a company's cost of capital across its debt and equity. If a company's WACC is elevated, the cost of financing for the company is ...

Esty, Benjamin C., and E. Scott Mayfield. "The Weighted Average Cost of Capital (WACC): Derivation, Intuition, and Applications." Harvard Business School Technical Note 221-106, June 2021.