Explain the importance of understanding the cost of capital


Explain the importance of understanding the cost of capital to a business. Comment on why it is important and explain why as debt increases (in capital structure), eventually the WACC will increase (despite the fact debt is. ... the WACC will increase (despite the fact debt is usually the lower cost component cost of capital).

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Finance Basics: Explain the importance of understanding the cost of capital
Reference No:- TGS0614066

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