WACC (Weighted Average Cost of Capital) Formula and Definition | Learn With Finance Strategists

The weighted average cost of capital (WACC) is the implied interest rate of all forms of the company’s debt and equity financing which is weighted according to the proportionate dollar-value of each.
The formula for calculating the weighted average cost of capital is the proportion of total equity (E) to total financing (E + D) multiplied by the cost of equity (Re) , plus the proportion of total debt (D) to total financing (E + D), multiplied by the cost of debt (Rd), multiplied by one minus the tax rate (T).
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0:00 Weighted Average Cost of Capital (WACC) Definition
0:38 WACC Example
1:03 Formula for WACC
1:52 How WACC is Used
2:05 Making Decisions with WACC
2:38 WACC Question & Application
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[@zalt8846]

Only channel I found that explains everything including how to calculate cost of equity and debt

[@alebroker7587]

True other channela just concéntrate on the fórmula but not the components, which is perhaps more important.

[@darshanlal8475]

Great

[@TrueTamplin]

Thanks Darshan!

[@ezequielmorales2711]

Great explanations, clear and concise. Company "Half and Half" 🤣🤣🤣🤣🤣

[@maryelacardenas]

So what is the answer? Would it just be no?

[@mafijulislam4555]

❤

[@ansumanmishra21]

Why don't U cover, Accounts & finance concepts ma'am ?

[@financestrategists4468]

Hi there, we do actually cover a lot of those. If you visit learn.financestrategists.com, you will see quite a few lessons on accounting concepts.