The Cost of Capital is a critical element in business decisions.
The Cost of Capital is a Critical
Element in Business Decisions
A Report submitted in partial fulfilment of the requirements for the award of Master of Science of the Loughborough University.
November 2004
ABSTRACT
This paper discusses the issue of whether the Cost of Capital is a critical element in business decisions through the topics of Capital Structure and the effects of the Cost of Capital on a company's competitiveness.
Through the use of both qualitative
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Capital: The Managerial Perspective', California Management Review (pp 9 - 32).
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Stulz, R.M. (1996) 'Does the cost of capital differ across countries: An agency perspective'. Journal of Applied Corporate Finance (Volume 2, pp 11 - 22).
Wald, John K. (1999) 'How firm characteristics affect capital structure: an international comparison'. The Journal of Financial Research (Vol. 22, pp 161 - 187).
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