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Newimber qs M/J 2019

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Newimber qs M/J 2019

  • This topic has 4 replies, 2 voices, and was last updated 5 years ago by AvatarJohn Moffat.
Viewing 5 posts - 1 through 5 (of 5 total)
  • Author
    Posts
  • August 22, 2020 at 3:13 am #581448
    Avatarsidishah
    Member
    • Topics: 34
    • Replies: 74
    • ☆☆

    Sir when a company is all equity financed and has no debt as in the case of polynins than cost of capital = WACC correct?

    August 22, 2020 at 9:07 am #581467
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54843
    • ☆☆☆☆☆

    The WACC is the cost of capital !

    What you mean is that the WACC is equal to the cost of equity, if it is all equity financed.

    Have you watched my free lectures on the calculations of the cost of capital?

    August 22, 2020 at 12:51 pm #581482
    Avatarsidishah
    Member
    • Topics: 34
    • Replies: 74
    • ☆☆

    Oh yes sorry , I meant cost of equity . Yes sir I did watch your lectures. Thankyou so much.

    August 22, 2020 at 12:52 pm #581483
    Avatarsidishah
    Member
    • Topics: 34
    • Replies: 74
    • ☆☆

    so wacc is equal to cost of equity right?

    August 22, 2020 at 3:42 pm #581510
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54843
    • ☆☆☆☆☆

    If it is all equity financed then yes.

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Viewing 5 posts - 1 through 5 (of 5 total)
  • The topic ‘Newimber qs M/J 2019’ is closed to new replies.

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