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1:00
YouTube
Patrick Bray CPA
Calculate Weighted Average Cost of Capital (WACC) in Excel
Weighted Average Cost of Capital ("WACC") formula: WACC = [ (E / V) x Re ] + [ (D / V) x Rd x (1-T) ] E = Value of Equity D = Value of Debt V = Total value of Debt and Equity Re = Total Cost of Equity Rd = Total Cost of Debt T = Tax rate The Weighted Average Cost of Capital formula measures the cost of financing for a business through debt and ...
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