<p>The cost of capital concept has myriad applications in business decision-making. The standard methodology for deriving cost of capital estimates is based on the seminal Modigliani-Miller analyses. This book generalizes this framework to include non-debt tax shields (e.g., depreciation), interactions between the borrowing rate and tax shields, and default considerations. It develops several new results and shows how better cost of capital and marginal tax rate estimates can be generated. The book's unified cost of capital theory is discussed with comprehensive numerical examples and graphical illustrations.This book will be of interest to corporate managers, academics, investment bankers, governmental agencies, and private companies that generate cost of capital estimates for public consumption.</p>

THEORY OF THE FIRM'S COST OF CAPITAL, A: HOW DEBT AFFECTS THE FIRM'S RISK, VALUE, TAX RATE, AND THE GOVERNMENT'S TAX CLAIM

Business & Money

Ramesh K. S. Rao

Eric C. Stevens

Economics

World Scientific Publishing Company

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Books by Eric C. Stevens

See the best price to sell, buy, or rent books by Eric C. Stevens. BookScouter helps to compare book prices from 25+ online bookstores and 30+ buyback vendors with a single search.

THEORY OF THE FIRM'S COST OF CAPITAL, A: HOW DEBT AFFECTS THE FIRM'S RISK, VALUE, TAX RATE, AND THE GOVERNMENT'S TAX CLAIM