Get a free quote

Financial Glossary
search
Weighted average cost of capital (WACC) - Financial Glossary


Weighted average cost of capital (WACC)

Expected return on a portfolio of all a firm's securities. Used as a hurdle rate for capital investment. Often the weighted average of the cost of equity and the cost of debt The weights are determined by the relative proportions of equity and debt in a firm's capital structure.















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



Next Finance Term: weight









Related Finance and Investing Topics






Home | Site Map | Privacy | Contact Us | Resources

© 2001-2008 Your Financial Reference Source. All rights reserved.