Business terms and jargon explained. Your business dictionary
What is Cost of CapitalThe cost of the funds used to finance investment. Firms generally raise finance for investment through either internal finance (reinvesting profits) or external finance (issuing debt or equity). The cost of external finance for a firm is given by the weighted average of the firm's costs of debt and equity.
© Crown Copyright. Material taken from HM-Treasury. Reproduced under the terms and conditions of the Click-Use Licence.
<- Go Back
Business Terms Home page
Search jargon and terms database to learn more:-
A B C D E F G H I J K L M N
O P Q R S T U V W X Y Z
Term created / updated 2007-03-20 22:43:21
Knowledge is the key to success. That is why we have gone to great lengths to get you these business terms, and to explain them in Plain English so it is very easy to understand. Getting the right understanding and knowing your business jargon will keep you informed among your peers.
Copyright © 2004-2019 Scopulus Limited. All rights reserved.