The review of researches related with the practical use of methodsof estimating the cost of capital in developed and emerging economies

Main Article Content

Tomasz Pawlonka


Keywords : cost of capital, CAPM, risk-free rate, market yield
Abstract
The main goal of the companies, increasing the value for the shareholder, requires awareness of the cost of capital. The ways of estimating the cost of capital in finance theory and business practice are still debatable. They are not transparent for all companies and for all economies. The aim of this article is to present the opinion of practitioners and a summary of its with theoretical views regarding to reliable calculation of the cost of capital. Particular emphasis is placed on the CAPM and the various parameters of this model.

Article Details

How to Cite
Pawlonka, T. (2017). The review of researches related with the practical use of methodsof estimating the cost of capital in developed and emerging economies. Zarządzanie Finansami I Rachunkowość, 5(2), 39–51. https://doi.org/10.22630/ZFIR.2017.5.2.10
References

AGARWAL M. 2013: The opportunity and challenge of India's infrastructure, Gridlines, Pricewaterhouse Coopers, Summer, 1-9.

Al-ALI J., ARKWRIGHT T. 2000: Investigation of UK Companies Practices in the Determination, Interpretation and Usage of Cost of Capital, The Journal of Interdisciplinary Economics 11, 303-319. (Crossref)

BREALEY R.A., MYERS S.C. 1991: Principles of Corporate Finance, McGraw-Hill, New York.

BRUNER R.F., EADES K.M., HARRIS R.S., HIGGINS R.C. 1998: Best practices in estimating the cost of capital: Survey and synthesis, Financial Practice and Education, Spring/Summer, 13-28.

BYRKA-KITA K. 2008: Metody szacowania kosztu kapitału własnego. Teoria a praktyka, Rozprawy i Studia 689, Uniwersytet Szczeciński, 95-104.

BUGHIN J., COPELAND T.E. 1997: The Virtuous Cycle of Shareholder Value Creation, The McKinsey Quarterly 2, 156-167.

Business International Corporation 1997: Creating World-Class Financial Management, Strategies of 50 leading companies, Research Report 1-110, New York.

COPELAND T., WESTON J.F. 1998: Financial Theory and Corporate Policy, Addison-Wesley Publishing Company, USA.

FERLING R. 1994: Telling Academics What You Want to Know, Financial Executive, 10, 4.

GIRI V., SIVALA S. 2013: Dissecting India's Equity Risk Premium, How much to expect on your equity investments, Pricewaterhouse Coopers, India, June.

SANJEEV K. 2012: Real Estate Going Global India, Tax and legal aspects of real estate investments around the globe, Pricewaterhouse Coopers, India, June.

STEWART G. 1985: The Quest for Value: The EVA-TM Management Guide, Harper Business, Free Press, London.

Statistics

Downloads

Download data is not yet available.
Recommend Articles