WACC – when to use market value of equity and when book valueForums › ACCA Forums › ACCA AFM Advanced Financial Management Forums › WACC – when to use market value of equity and when book valueThis topic has 3 replies, 4 voices, and was last updated 12 years ago by Anonymous.Viewing 4 posts - 1 through 4 (of 4 total)AuthorPosts June 6, 2011 at 4:16 pm #48952 jelenaxmMemberTopics: 4Replies: 7☆Can somebody explain why sometimes we use book value of debt and equity in the WACC formulae and sometimes (e.g. June 2009 Q2 b) ) we use market value of equity for calculating wacc before and after the change in gearing ? Thx a lot !! November 3, 2011 at 3:40 pm #83186 AnonymousInactiveTopics: 0Replies: 3☆Hi, by right we should always use the market value of the debt and equity. Unless the question does not indicate the market value anywhere. November 4, 2011 at 6:02 am #83187 abbas aliMemberTopics: 9Replies: 57☆☆DEPEND UPON GIVEN QUESTION September 8, 2012 at 7:34 pm #83188 AnonymousInactiveTopics: 0Replies: 9☆If the co is listed then we have to use market value as it makes sense and when co is not listed on stock exchange then we use book valueAuthorPostsViewing 4 posts - 1 through 4 (of 4 total)You must be logged in to reply to this topic.Log In Username: Password: Keep me signed in Log In