Weighted Average Cost of Capital (WACC)

Learn what WACC means, how to calculate it, and why it matters for valuation and corporate finance. Includes formula and worked example.

Corporate Finance, Capital Structure, Investment Decisions, Cost of Capital, Valuation, WACC

Table of Contents What Is Corporate Finance? Corporate finance governs the way organisations allocate capital, evaluate risk, and pursue long-term value creation. From deciding which investments to pursue to determining how to fund them, corporate finance is the strategic engine that powers decision-making at every level of an enterprise. This article introduces the key principles […]