The cost of equity and the cost of capital are key metrics in corporate finance that influence financial strategy and investment decisions. The cost of equity reflects the return shareholders expect, ...

Cost of capital is a term that investors and companies use to express how much it costs a firm to obtain funding for projects. This rate is used as a benchmark to evaluate potential investment ...

What is Incremental Cost of Capital? Incremental cost of capital is a capital budgeting term that refers to the average cost a company incurs to issue one additional unit of debt or equity. The ...

Brian Beers is a digital editor, writer, Emmy-nominated producer, and content expert with 15+ years of experience writing about corporate finance & accounting, fundamental analysis, and investing.

Considering building a second location, purchasing a company, or entering a new market? Calculating the cost of equity can ensure your investment pays off. Investors and small business owners use the ...

NEWS ITEM: The Surface Transportation Board (STB) proposes to change the formula for computing the cost of the equity component of the railroad industry’s cost of capital. This is of consequence to ...

The Federal Reserve System is an important participant in the nation’s payments system—the infrastructure used for transmitting payments among individuals, firms and government entities. For example, ...

The discount factor of a company is the rate of return that a capital expenditure project must meet to be accepted. It is used to calculate the net present value of future cash flows from a project ...

Cost basis is the purchase cost of a particular security, including commission charges. Importantly, a cost basis can be established over a series of purchases of the same security, not just one trade ...