{"id":33580,"date":"2022-11-21T13:26:26","date_gmt":"2022-11-21T13:26:26","guid":{"rendered":"https:\/\/www.5paisa.com\/finschool\/?post_type=videolectures&#038;p=33580"},"modified":"2022-11-24T09:47:14","modified_gmt":"2022-11-24T09:47:14","slug":"what-is-cost-of-capital-how-to-calculate-cost-of-capital","status":"publish","type":"videolectures","link":"https:\/\/www.5paisa.com\/finschool\/finflix\/what-is-cost-of-capital-how-to-calculate-cost-of-capital\/","title":{"rendered":"What is Cost of Capital? How to Calculate Cost of Capital"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"33580\" class=\"elementor elementor-33580\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-38e0c01 elementor-section-full_width elementor-section-height-default elementor-section-height-default\" data-id=\"38e0c01\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-top-column elementor-element elementor-element-2e00f37\" data-id=\"2e00f37\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-f20fb96 elementor-widget elementor-widget-shortcode\" data-id=\"f20fb96\" data-element_type=\"widget\" data-widget_type=\"shortcode.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-shortcode\">\t<div class=\"responsive-container\"><div id=\"player\"><\/div><\/div> \n\n\t<script>\n\t  var tag = document.createElement('script');\n      tag.src = \"https:\/\/www.youtube.com\/iframe_api\";\n      var firstScriptTag = document.getElementsByTagName('script')[0];\n      firstScriptTag.parentNode.insertBefore(tag, firstScriptTag);\n      var player;\n      function onYouTubeIframeAPIReady() {\n        player = new YT.Player('player', {\n          videoId: 'TOWFY7RYcac',\n        });\n      }\n      function setCurrentTime(slideNum) {\n        \/\/var object = [ 0, 133, 193 ];\n        player.seekTo(slideNum);\n      }<\/script>\n <\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-58dcc62 elementor-hidden-desktop elementor-widget elementor-widget-heading\" data-id=\"58dcc62\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h5 class=\"elementor-heading-title elementor-size-default\">In The Episode<\/h5>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c9940d2 elementor-widget elementor-widget-text-editor\" data-id=\"c9940d2\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>The Cost of Capital is the money to start the company. Money raised from friends and family is known as equity capital, whereas raised via a loan is called debt capital. Know how to calculate the weighted average cost of capital with an example to understand easily from our expert. Learn about various other concepts in the video for more clarity on the calculation part.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-top-column elementor-element elementor-element-c40f1fa elementor-hidden-tablet elementor-hidden-mobile\" data-id=\"c40f1fa\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-d4a8ed6 elementor-widget elementor-widget-heading\" data-id=\"d4a8ed6\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h5 class=\"elementor-heading-title elementor-size-default\">In The Episode<\/h5>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9a986cd elementor-widget elementor-widget-shortcode\" data-id=\"9a986cd\" data-element_type=\"widget\" data-widget_type=\"shortcode.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-shortcode\"><ul id=\"timestamp\">\n\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"0\">\n\t\t<span class=\"timestamp_time\">00:00:00<\/span>\n\t\t<span class=\"timestamp_text\">Introduction<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"15\">\n\t\t<span class=\"timestamp_time\">00:00:15<\/span>\n\t\t<span class=\"timestamp_text\">Cost of Capital<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"38\">\n\t\t<span class=\"timestamp_time\">00:00:38<\/span>\n\t\t<span class=\"timestamp_text\">Equity Capital<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"54\">\n\t\t<span class=\"timestamp_time\">00:00:54<\/span>\n\t\t<span class=\"timestamp_text\">Debt Capital <\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"63\">\n\t\t<span class=\"timestamp_time\">00:01:03<\/span>\n\t\t<span class=\"timestamp_text\">Risk Assessment <\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"136\">\n\t\t<span class=\"timestamp_time\">00:02:16<\/span>\n\t\t<span class=\"timestamp_text\">Types of Equity Holders <\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"187\">\n\t\t<span class=\"timestamp_time\">00:03:07<\/span>\n\t\t<span class=\"timestamp_text\">Total Cost of Capital <\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"277\">\n\t\t<span class=\"timestamp_time\">00:04:37<\/span>\n\t\t<span class=\"timestamp_text\">Cost of Debt<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"334\">\n\t\t<span class=\"timestamp_time\">00:05:34<\/span>\n\t\t<span class=\"timestamp_text\">Cost of Preferred Equity<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"369\">\n\t\t<span class=\"timestamp_time\">00:06:09<\/span>\n\t\t<span class=\"timestamp_text\">Cost of Common Equity<\/span>\n\t\t<\/a><\/li>\n\t\t\t\t\t\t\t\t\t\t\t\t<\/ul>\n<script>\n\tjQuery('#timestamp li a').click(function() {\n\t\tsetCurrentTime(jQuery(this).attr(\"id\"));\n\t\tjQuery(this).parent().addClass(\"active\");\n\t});\n<\/script>\n<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-171af40 elementor-hidden-desktop elementor-widget elementor-widget-shortcode\" data-id=\"171af40\" data-element_type=\"widget\" data-widget_type=\"shortcode.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-shortcode\"><ul id=\"timestamp\">\n\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"0\">\n\t\t<span class=\"timestamp_time\">00:00:00<\/span>\n\t\t<span class=\"timestamp_text\">Introduction<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"15\">\n\t\t<span class=\"timestamp_time\">00:00:15<\/span>\n\t\t<span class=\"timestamp_text\">Cost of Capital<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"38\">\n\t\t<span class=\"timestamp_time\">00:00:38<\/span>\n\t\t<span class=\"timestamp_text\">Equity Capital<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"54\">\n\t\t<span class=\"timestamp_time\">00:00:54<\/span>\n\t\t<span class=\"timestamp_text\">Debt Capital <\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"63\">\n\t\t<span class=\"timestamp_time\">00:01:03<\/span>\n\t\t<span class=\"timestamp_text\">Risk Assessment <\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"136\">\n\t\t<span class=\"timestamp_time\">00:02:16<\/span>\n\t\t<span class=\"timestamp_text\">Types of Equity Holders <\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"187\">\n\t\t<span class=\"timestamp_time\">00:03:07<\/span>\n\t\t<span class=\"timestamp_text\">Total Cost of Capital <\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"277\">\n\t\t<span class=\"timestamp_time\">00:04:37<\/span>\n\t\t<span class=\"timestamp_text\">Cost of Debt<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"334\">\n\t\t<span class=\"timestamp_time\">00:05:34<\/span>\n\t\t<span class=\"timestamp_text\">Cost of Preferred Equity<\/span>\n\t\t<\/a><\/li>\n\t\t\t<li><a href=\"javascript:void(0);\" \n\t\t   id=\"369\">\n\t\t<span class=\"timestamp_time\">00:06:09<\/span>\n\t\t<span class=\"timestamp_text\">Cost of Common Equity<\/span>\n\t\t<\/a><\/li>\n\t\t\t\t\t\t\t\t\t\t\t\t<\/ul>\n<script>\n\tjQuery('#timestamp li a').click(function() {\n\t\tsetCurrentTime(jQuery(this).attr(\"id\"));\n\t\tjQuery(this).parent().addClass(\"active\");\n\t});\n<\/script>\n<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Series 4 Episode 4<\/p>\n","protected":false},"author":1,"featured_media":33638,"parent":0,"menu_order":14,"comment_status":"closed","ping_status":"closed","template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"class_list":["post-33580","videolectures","type-videolectures","status-publish","format-standard","has-post-thumbnail","hentry","video-lecture-category-fundamental-analysis"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.5paisa.com\/finschool\/wp-json\/wp\/v2\/videolectures\/33580","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.5paisa.com\/finschool\/wp-json\/wp\/v2\/videolectures"}],"about":[{"href":"https:\/\/www.5paisa.com\/finschool\/wp-json\/wp\/v2\/types\/videolectures"}],"author":[{"embeddable":true,"href":"https:\/\/www.5paisa.com\/finschool\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.5paisa.com\/finschool\/wp-json\/wp\/v2\/comments?post=33580"}],"version-history":[{"count":12,"href":"https:\/\/www.5paisa.com\/finschool\/wp-json\/wp\/v2\/videolectures\/33580\/revisions"}],"predecessor-version":[{"id":34273,"href":"https:\/\/www.5paisa.com\/finschool\/wp-json\/wp\/v2\/videolectures\/33580\/revisions\/34273"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.5paisa.com\/finschool\/wp-json\/wp\/v2\/media\/33638"}],"wp:attachment":[{"href":"https:\/\/www.5paisa.com\/finschool\/wp-json\/wp\/v2\/media?parent=33580"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}