Marginal Cost of Capital

   

Definition: Marginal Cost of Capital is the cost associated with raising one extra dollar at a particular moment via any form of capital.
Capital is any money used to finance a business and/or its operations. There are many different sources (types) of capital: traditional debt or equity financing or owner financing, grants, gains on investment capital, retained earnings, accrual financing contracts and forward payment agreements on capital.
There is a cost associated with obtaining capital. The cost is NOT the same for each type and changes over time.


   
   

Learn more about Marginal Cost of Capital



More on investing: Alternative Investments, Asset Management, Break-even Point, BRIC Countries, Capital Structure, more...

You may also like: Full-time MBA, Executive MBA, Executive Education, Online MBA.


MBA Brief offers concise, yet precise definitions of concepts, methods and models as taught in a study Master of Business Administration.

We like to keep things short, and provide links to learn more about your subject.


Add MBA Brief to your desktop / iPad
   

© 2023 MBA Brief - Last updated: 8-6-2023  -  Privacy   |   Terms