Cost of capital:
Cost of capital is the minimum or lowest rate of investment that a company has to earn for receiving fund.
Whenever any company investor invests his money, he observes the rate of return. Therefore company has to state, what will company pay, when investors give their money to company. That average cost on the investment is termed as cost of capital. We compute it with the following method:
Cost of capital = interest rate at zero level risk + premium for business risk + premium for financial risk
When a company has not power to earn and cost of capital, then this company can’t obtain fund from public.
Latest technology based Finance Online Tutoring Assistance
Tutors, at the www.tutorsglobe.com, take pledge to provide full satisfaction and assurance in Finance help via online tutoring. Students are getting 100% satisfaction by online tutors across the globe. Here you can get homework help for Finance, project ideas and tutorials. We provide email based Finance help. You can join us to ask queries 24x7 with live, experienced and qualified online tutors specialized in Finance. Through Online Tutoring, you would be able to complete your homework or assignments at your home. Tutors at the TutorsGlobe are committed to provide the best quality online tutoring assistance for Finance Homework help and assignment help services. They use their experience, as they have solved thousands of the Finance assignments, which may help you to solve your complex issues of Finance. TutorsGlobe assure for the best quality compliance to your homework. Compromise with quality is not in our dictionary. If we feel that we are not able to provide the homework help as per the deadline or given instruction by the student, we refund the money of the student without any delay.
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!