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the company cost of capital is the return that is expected on a portfolio of the...

the company cost of capital is the return that is expected on a portfolio of the company's: A. existing securities B. Equity securities C. debt securities D. proposed securities

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Answer #1

Answer) A. existing securities

Explanation :

Cost of capital is the required rate of return that the company's investors expect to earn on existing securities of the company.

Cost of capital can be cost of equity if the project or business is financed solely through equity securities or it can cost of of debt if the project or business is financed solely through debt securities or cost of capital can be weighted average cost of capital (WACC) if the project is financed through combination of equity & debt securities

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