Cost of capital

This topic has 1 reply, 2 voices, and was last updated 4 years ago by John Moffat.

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June 8, 2021 at 11:35 am #623880
vavneetb
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How do we know which cost of capital we have to use?
Nominal before tax or nominal after tax?
It does says in the question taxation and tad must be ignored.
June 8, 2021 at 3:06 pm #623910
John Moffat
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We always calculate the WACC after tax, unless the question says to ignore tax in which case there is no tax 🙂
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