A cost of capital figure for each of the firms is listed below. Explain what this figure

Question:

A cost of capital figure for each of the firms is listed below. Explain what this figure means.

Motorola…………………………… 11.6

Hershey Foods..................................12.8

Home Depot………………………. 12.2

Dillard Department Stores………… 10.5

Coca-Cola………………………….. 12.0

Cost Of Capital
Cost of capital refers to the opportunity cost of making a specific investment . Cost of capital (COC) is the rate of return that a firm must earn on its project investments to maintain its market value and attract funds. COC is the required rate of...