EQUITY FINANCE

Equity Finance



Equity Finance

There are two forms of finance that the company can use for a long-term project such as this, debt finance or equity finance. Both options can be used individually or they can be used jointly. When considering which form of finance to look at it is important to consider the user of the finance and the provider of the finance. Debt and equity each have there own cost and the average cost of all the different debt and equity is called the Weighted Average Cost of Capital (WACC). Companies when assessing the viability of capital expenditure projects ...