A Firm's Cost of Capital

被引：4
|
作者：
Jagannathan, Ravi [1 ,2 ,3 ]
Liberti, Jose [1 ,4 ]
Liu, Binying [5 ]
Meier, Iwan [6 ]
机构：
[1] Northwestern Univ, Kellogg Sch Management, Evanston, IL 60208 USA
[2] Natl Bur Econ Res, Cambridge, MA 02138 USA
[3] Shanghai Jiao Tong Univ, Shanghai Adv Inst Finance, Shanghai 200030, Peoples R China
[4] DePaul Univ, Kellstadt Grad Sch Business, Dept Finance, Chicago, IL 60622 USA
[5] Hong Kong Univ Sci & Technol, Dept Finance, Hong Kong, Hong Kong, Peoples R China
[6] HEC Montreal, Dept Finance, Montreal, PQ H3T 2A7, Canada
来源：
ANNUAL REVIEW OF FINANCIAL ECONOMICS, VOL 9 | 2017年 / 9卷
关键词：
cost of capital; capital structure; cost of debt; cost of equity; weighted average cost of capital; divisional cost of capital; ADJUSTED DISCOUNT RATES; TAX SHIELD VALUATION; ASSET PRICING MODEL; INVESTMENT DECISIONS; FINANCIAL STRUCTURE; CONVERTIBLE BONDS; CORPORATE-FINANCE; EXPECTED RETURNS; COMPARABLE FIRMS; PREFERRED STOCK;
D O I：
10.1146/annurev-financial-110716-032429
中图分类号：
F8 [财政、金融];
学科分类号：
0202 ;
摘要：
To create value, a firm must invest in projects that provide a return greater than the cost of capital. The cost of capital is not observed and its estimation requires assumptions on investors' consumption, savings, and portfolio decisions. We review the academic literature on firms' cost of financial capital and the estimation of the different components: cost of equity, cost of debt, and their relative weights. We also review various approaches to estimating the cost of capital and the assumptions justifying these approaches.
引用
收藏
页码：259 / 282
页数：24
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