After-tax cost of debt
Revision as of 03:31, 2 November 2019 by Gary (talk | contribs) (Created page with "After-tax cost of debt, rd(12T) is the relevant cost of new debt, taking into account the tax deductibility of interest; used to calculate the WACC. ==Definitions==...")
After-tax cost of debt, rd(12T) is the relevant cost of new debt, taking into account the tax deductibility of interest; used to calculate the WACC.
Definitions
According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),
- After-tax cost of debt, rd(12T). The relevant cost of new debt, taking into account the tax deductibility of interest; used to calculate the WACC.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
