Definitions for Cost Of Capital
cost of cap·i·tal

Princeton's WordNetRate this definition:0.0 / 0 votes

1. cost of capital, capital costnoun

   the opportunity cost of the funds employed as the result of an investment decision; the rate of return that a business could earn if it chose another investment with equivalent risk

WikipediaRate this definition:0.0 / 0 votes

1. Cost of capital

   In economics and accounting, the cost of capital is the cost of a company's funds (both debt and equity), or from an investor's point of view is "the required rate of return on a portfolio company's existing securities". It is used to evaluate new projects of a company. It is the minimum return that investors expect for providing capital to the company, thus setting a benchmark that a new project has to meet.

ChatGPTRate this definition:0.0 / 0 votes

1. cost of capital

   Cost of capital refers to the required return a company or investor needs to generate in order to proceed with a prospective investment. It is essentially the opportunity cost of investing resources into one sector over another. In simpler terms, it is the rate of return a firm needs to earn on its investment projects to maintain its market value and attract funds. The cost of capital can encompass all of the company's funding sources, including both debt and equity.

WikidataRate this definition:0.0 / 0 votes

1. Cost of capital

   The cost of capital is a term used in the field of financial investment to refer to the cost of a company's funds, or, from an investor's point of view "the shareholder's required return on a portfolio company's existing securities". It is used to evaluate new projects of a company as it is the minimum return that investors expect for providing capital to the company, thus setting a benchmark that a new project has to meet.

Matched Categories

1. • Opportunity Cost

How to pronounce Cost Of Capital?

1. Alex

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How to say Cost Of Capital in sign language?

Numerology

1. Chaldean Numerology

   The numerical value of Cost Of Capital in Chaldean Numerology is: 8

2. Pythagorean Numerology

   The numerical value of Cost Of Capital in Pythagorean Numerology is: 5

Examples of Cost Of Capital in a Sentence

1. Jonathan DeSimone:

   As an investor, we certainly value the trading liquidity that the established counterparties offer in our market, and we absolutely put a premium on those situations versus those where the deal is not going to trade to the same extent, we would expect cost of capital to be lower than for an instrument syndicated by an institution that hasn't invested as much in its trading platform.

2. Ian Simm:

   I can't see any upside for the energy sector of the UK coming out of the EU. The risk premium going up will increase the cost of capital, we have mostly run our power assets down over the past 25 years. Therefore, we do need investors to be confident enough to put their hands in their pockets and commit to the next wave of power plants.

3. Walter Stoeppelwerth:

   There is a line forming, everybody wants a lower cost of capital.

4. Alan Price:

   This devaluation is just the latest attempt to support Chinese industry at the expense of producers in the rest of the world who have to earn their cost of capital to survive.

5. Evy Hambro:

   The weight of money flowing into products in this area, whether they are active or passive, will shift the cost of capital for companies.

References

1. ^ Princeton's WordNet
   http://wordnetweb.princeton.edu/perl/webwn?s=Cost Of Capital
2. ^ Wikipedia
   https://en.wikipedia.org/wiki/Cost_of_Capital
3. ^ ChatGPT
   https://chat.openai.com
4. ^ Wikidata
   https://www.wikidata.org/w/index.php?search=Cost Of Capital