WACC Weighted Average Cost of Capital | Explained with Example

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  • Опубліковано 14 січ 2025

КОМЕНТАРІ • 101

  • @nangamsoceba6647
    @nangamsoceba6647 4 роки тому +32

    Thank you so much this is crystal clear!

    • @marlontristen2095
      @marlontristen2095 3 роки тому +1

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    • @declankaiden5177
      @declankaiden5177 3 роки тому

      @Marlon Tristen Instablaster :)

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      @marlontristen2095 3 роки тому

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    • @marlontristen2095
      @marlontristen2095 3 роки тому

      @Declan Kaiden It did the trick and I finally got access to my account again. Im so happy:D
      Thank you so much, you really help me out !

    • @declankaiden5177
      @declankaiden5177 3 роки тому

      @Marlon Tristen No problem :D

  • @FinancialtalksIQ
    @FinancialtalksIQ 4 місяці тому +10

    Look, you deserve an internationally recognized award for doing these videos. Thank you soʻooooooooooooooo much brother

  • @mpheletau3278
    @mpheletau3278 9 місяців тому +4

    This channel is quickly becoming my number 1 go to channel for simplifying finance concepts. Thanks a lot

  • @njabulomaphumulo94
    @njabulomaphumulo94 Рік тому +5

    To think I have been battling with this chapter for the past 5 days and you have just simplified it in 17 minutes. Thank you.

  • @sarahserwar5909
    @sarahserwar5909 8 місяців тому +1

    I spent hours trying to reason this WACC and get it to my brain and thanks to this video I finally get it .... Appreciate it

  • @MinipayWambiri
    @MinipayWambiri Місяць тому +3

    It's upon you...class 2 hours hapa 17 minutes 😅😂❤

  • @thatokometsi8008
    @thatokometsi8008 3 роки тому +4

    I cant believe that I only found out about this channel this week. Everything just makes sense.

  • @yonatinochimodzi6179
    @yonatinochimodzi6179 Рік тому

    Thank you very much. It's been a week of struggling with understanding WACC. This video has changed it all for me.😀

  • @yanyanofficial8854
    @yanyanofficial8854 2 роки тому +2

    Thank you for making it easier to understand. Simplicity is everything.

  • @africanchild5719
    @africanchild5719 4 роки тому +10

    Beautiful voice, beautiful presentation... If I fail I won't blame you. Thank you

  • @Pelokazii
    @Pelokazii 3 роки тому +8

    This channel gives me hope. Amazing work!!!

  • @tashingamungofa9562
    @tashingamungofa9562 3 роки тому +1

    Life saver right here!
    You just made my life easier

  • @mzwandilestishi3493
    @mzwandilestishi3493 4 роки тому +2

    It had to be you who made it all clear....Thanks a lot

  • @MohdAhmad-q2z
    @MohdAhmad-q2z Рік тому +1

    nice explained sir, tysm.....love from india

  • @maureenlouw-jantze6368
    @maureenlouw-jantze6368 4 роки тому +4

    The video was awesome and very much helpful. Thank you!!

  • @mzilikazi6216
    @mzilikazi6216 Рік тому

    You are the best tutor👌

  • @godfrednuel8104
    @godfrednuel8104 7 місяців тому

    Wow you just made me smile
    Such a simple but meaningful presentation. God richly bless you ❤

  • @janwray
    @janwray Рік тому

    Thank you so much for the great lesson.

  • @shoaibmohammad8334
    @shoaibmohammad8334 3 місяці тому

    Thanks. This is very clear.

  • @frederickfidel4533
    @frederickfidel4533 4 роки тому +1

    NICE WORK DONE HERE ...BLESS YOU

  • @zasendulomkhize3049
    @zasendulomkhize3049 Рік тому

    Thanks so much for these videos. This channel is my go-to and have refered my colleagues as well🤜. Have greater chances of doing well in my MACF☺

  • @icebear8356
    @icebear8356 4 роки тому +2

    Thank you for this!! Very helpful

  • @siduduzilemthembu3989
    @siduduzilemthembu3989 5 місяців тому

    Thank you so much, this is very clear and well presented.

  • @oyeleyeshadrach3169
    @oyeleyeshadrach3169 4 роки тому +2

    Thanks..This really helped

  • @OliviahNkhata
    @OliviahNkhata 3 місяці тому

    This was very helpful ❤❤🎉🎉

  • @taniaadonis8631
    @taniaadonis8631 7 місяців тому

    i have definitely learned something new!

  • @elizabethmunetsi4663
    @elizabethmunetsi4663 Рік тому

    Thank you so much for your tutorial!! It was so helpful!❤😊

  • @senditali16
    @senditali16 4 роки тому +1

    Very very helpful🤘🏻thanks man.

  • @keojansen5340
    @keojansen5340 2 роки тому

    Thank you so much, you have helped me with my assignment, It is clear.

  • @amukelaniaffection3040
    @amukelaniaffection3040 2 роки тому +3

    Can you please make a video of . Learning Unit 5: Capital structure and Financial Leverage
    2. Learning Unit 6: Degrees of Financial leverage, risk and break-even analysis
    3. Learning Unit 7: Ddividend Policy

  • @kamogelotheo6110
    @kamogelotheo6110 3 роки тому +1

    Thank u 🔥🔥🔥❤

  • @pieedmund94
    @pieedmund94 2 роки тому

    Well done! simple precise explanations.

  • @primrosechivasa7453
    @primrosechivasa7453 3 роки тому

    Awesome teaching

  • @danisabaloyi608
    @danisabaloyi608 4 роки тому +1

    wow, thank you for your amazing work

  • @annielunabuccat-cabuyao8183
    @annielunabuccat-cabuyao8183 4 роки тому

    Very helpful. Thankyou very much.

  • @mihlalintloko7719
    @mihlalintloko7719 3 роки тому +3

    WHICH OF THE LINKS S THE ONE THAT TEACHES HOW TO CALCULATE COST OF CAPITAL
    ?

  • @jacinta3203
    @jacinta3203 5 років тому +2

    So helpful.

  • @sevillakassandracamille6654
    @sevillakassandracamille6654 2 роки тому

    Well-explained, Sir. Thank you so much!

  • @solsolive
    @solsolive 3 роки тому

    This was so helpful thank you so much!.

  • @tamsenish
    @tamsenish Рік тому

    Great video!!

  • @BuckeyeFitnessFirm
    @BuckeyeFitnessFirm 2 роки тому

    One of the best explanations I've watch! And I've watched a lot... do you tutor?

  • @blackpulsepictures24
    @blackpulsepictures24 4 роки тому +1

    thankas it really helped!

  • @sivenqonji9855
    @sivenqonji9855 3 роки тому

    Thank you so much!

  • @bevonbwire6903
    @bevonbwire6903 3 роки тому

    Thank you 🤗

  • @lordsick8527
    @lordsick8527 2 роки тому

    Lifesaver❤🔥

  • @tatendamangwandi6734
    @tatendamangwandi6734 3 роки тому

    thumbs up ..this is clear

  • @fedelicskaaria7289
    @fedelicskaaria7289 3 роки тому

    Good job.Very clear and well presented

  • @zinhledlamini591
    @zinhledlamini591 Рік тому

    Number one🎉

  • @tamsenish
    @tamsenish Рік тому

    Thank you!!

  • @evelynastarkazhinga
    @evelynastarkazhinga 9 місяців тому

    Wow.. thank you very much. I never imagined this topic could be this simple.

  • @mahlakophasha3299
    @mahlakophasha3299 2 роки тому +1

    How does wacc link to debt to equity ratio?

  • @manurapiyumal9327
    @manurapiyumal9327 3 роки тому

    Thanks ! Helped me a lot.

  • @gamingtechwithjeff6
    @gamingtechwithjeff6 4 роки тому +1

    I really appreciate this☺️

  • @jeanettemphatlo5662
    @jeanettemphatlo5662 3 роки тому +1

    I found this channel a month ago and I can say it has helped a lot.. Thank you so much 😘😘

  • @oliverluwewa9413
    @oliverluwewa9413 4 роки тому +1

    very clear , now where another example of calculating wacc where market cost of debt is not given

  • @dollarboi_international
    @dollarboi_international 4 місяці тому

    THE BEST !

  • @mariamjallow2355
    @mariamjallow2355 4 роки тому +3

    Thank you so much sir
    This really helped me understand

  • @karabomalatji214
    @karabomalatji214 2 роки тому

    This channel is so helpful,I love how you simply everything.

  • @zeeigh_24
    @zeeigh_24 3 роки тому +1

    by just watching this video I was able to solve problems

  • @simonayabrahams3353
    @simonayabrahams3353 4 роки тому +2

    I am currently working on an assignment and I need to calculate the average cost of capital. Can you please assist me as im very confused?

  • @venkadeshg9447
    @venkadeshg9447 3 роки тому

    Exactly presented what I want to know. Also made me to subscribe your channel

  • @mosesmanasseh7106
    @mosesmanasseh7106 Рік тому

    Bravo❤

  • @dimakatsomolebatsi2901
    @dimakatsomolebatsi2901 3 роки тому +2

    Thank you soooo much you explained it in a very easy way, Much love!!!

  • @ibekwe-ucheuba2480
    @ibekwe-ucheuba2480 3 роки тому

    You the best

  • @ausakamanga9779
    @ausakamanga9779 3 роки тому

    thank you

  • @agneschinembeza1940
    @agneschinembeza1940 3 роки тому

    Well explained, it now makes a lot of sense, I'm enlightened

  • @fanashaa3130
    @fanashaa3130 2 роки тому

    Thank u

  • @kibethillary2622
    @kibethillary2622 2 роки тому

    Great

  • @norminarif4321
    @norminarif4321 4 роки тому +1

    Thank you sir 💐 such a great explaination 👍🏻 its help me a lot ✨

  • @kutlwanosegole1182
    @kutlwanosegole1182 2 роки тому

    Hi can you please make another example when the book and market values are included. Thank you.

  • @jackthebeanstalkdelohio5146
    @jackthebeanstalkdelohio5146 3 роки тому

    To find the cost of debt through wacc, will I have to calculate corporate's tax?

  • @ThatGirlSince97
    @ThatGirlSince97 3 роки тому

    I wish you would've added debentures to this. Awesome video tho!

  • @flaneurli.6077
    @flaneurli.6077 4 роки тому +1

    hi can you help me pls. if they given previous value and expected future value for preferred stock, how to calculate market value of preferred stock?

    • @Counttuts
      @Counttuts  4 роки тому

      Good day, this one should help: ua-cam.com/video/3A_0Sougztk/v-deo.html

  • @sumiyaaktershanta8129
    @sumiyaaktershanta8129 3 роки тому

    Where is the description
    I can't find it

  • @mkbutinini3271
    @mkbutinini3271 3 роки тому

    good

  • @kafuipraise6311
    @kafuipraise6311 3 роки тому

    Thank you so much for this video ❤️

  • @najamkhanzada804
    @najamkhanzada804 3 роки тому

    In cost of capital measurement why should the cost of capital be calculated as a weighted average of the various types of funds that a firm generally used, not as the cost of the specific type of capital used during a given year?

  • @kachymwanza6953
    @kachymwanza6953 4 роки тому

    Kindly show how the formula is applied

  • @sujathakalidoss5578
    @sujathakalidoss5578 Рік тому

    Which topic easily for distance students... I know only leverage sum ... Capital structure, weighted avg & divident policy

  • @mahlakophasha3299
    @mahlakophasha3299 3 роки тому

    Do you guy offer online classes

    • @Counttuts
      @Counttuts  3 роки тому

      Good day, yes we do. Email us at info@counttuts.com

  • @sinai1687
    @sinai1687 Рік тому

    Hello Sir. How would I calculate the weighted cost if there is a tax rate of 28% ?

    • @ZaneleMahlangu-v2d
      @ZaneleMahlangu-v2d Рік тому

      You just replace the 35% with the 28% (or whichever tax rate is given to you)

  • @martinferreira7725
    @martinferreira7725 2 роки тому +2

    Hi - Please can you assist with explanation and example on the following question.
    Trendy Limited uses a combination of shares and debt in their capital structure.
    There are 2 million R1 ordinary shares in issue and the current market price is R2.50 per share. The latest dividend paid was 40 cents and a 9% average growth for the past six years was maintained.
    The company has 1 000 000 R2, 8% preference shares with a market price of R1.80 per share.
    Trendy Limited has a public traded debt with a face value of R2 million. The coupon rate of the debenture is 7% and the current yield to maturity of 10%. The debenture has 6 years to maturity
    They also have a bank overdraft of R600 000 due in 3 years’ time and interest is charged at 15% per annum.
    Additional information:
    • • Trendy Limited has a beta of 2.1, a risk-free rate of 7% and a return on the market of 16%.
    • • Company tax rate is 30%.
    Required:
    4.1 Calculate the weighted average cost of capital, using the Gordon Growth Model to calculate the cost of equity. (22)
    4.2 Calculate the cost of equity, using the Capital Asset Pricing Model. (3)

  • @lebogang.matlala8672
    @lebogang.matlala8672 3 роки тому +1

    This was really helpful. thank you

  • @zeeigh_24
    @zeeigh_24 3 роки тому

    thank you