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WACC

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › WACC

  • This topic has 1 reply, 2 voices, and was last updated 4 years ago by AvatarJohn Moffat.
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  • June 6, 2021 at 3:17 pm #623456
    Avatarvavneetb
    Participant
    • Topics: 175
    • Replies: 123
    • ☆☆☆

    If i am calculating WACC on my calculator =, do i have to mention the formula in the exam?

    June 6, 2021 at 4:55 pm #623483
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54839
    • ☆☆☆☆☆

    Yes – say which formula you are using (don’t type it out in full – just type ‘using the weighted average cost of capital formula’)

    However, assuming you have will have shown already the calculations separately for the cost of equity and the cost of debt, it would be easier for you to use the spreadsheet to then calculate the WACC, but that is obviously your choice.

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