{"id":515,"date":"2020-03-31T22:25:59","date_gmt":"2020-04-01T05:25:59","guid":{"rendered":"https:\/\/blogs.ubc.ca\/financefundamentals\/?p=515"},"modified":"2020-05-25T21:04:00","modified_gmt":"2020-05-26T04:04:00","slug":"video-29-wacc-introduction-and-calculating-the-weights","status":"publish","type":"post","link":"https:\/\/blogs.ubc.ca\/financefundamentals\/2020\/03\/31\/video-29-wacc-introduction-and-calculating-the-weights\/","title":{"rendered":"29. WACC: Introduction and Calculating the Weights"},"content":{"rendered":"<div class=\"container-articles nobreak\">\n<div class=\"item-noalign\" style=\"text-align: center\">\n<div style=\"padding:10px\"> <a style=\"font-size: 30px;color: black;font-weight: bold;text-decoration: none\"> 29. WACC: Introduction and Calculating the Weights<\/a> <\/div>\n<p style=\"font-size: 18px;color:black\">In finance, we know to use &#8220;r&#8221; as the appropriate rate to discount cashflows to account for risk and the time value of money. This &#8220;r&#8221; is also known as the cost of capital, opportunity cost, discount rate, interest rate, required rate of return, market rate, or the yield to maturity. But where does this &#8220;r&#8221; come from?<br \/>\nLearn about what WACC (the weighted average cost of capital) is, how its components can be calculated, and how it can be used to discount cashflows.<\/p>\n<\/p><\/div>\n<div class=\"item-noalign\">\n<!-- iframe plugin v.6.0 wordpress.org\/plugins\/iframe\/ -->\n<iframe loading=\"lazy\" width=\"560\" height=\"315\" src=\"https:\/\/www.youtube.com\/embed\/8pjvVpO8FUY\" frameborder=\"0\" allow=\"accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture\" allowfullscreen=\"allowfullscreen\" scrolling=\"yes\" class=\"iframe-class\"><\/iframe>\n <\/p>\n<div class=\"left-right\"> <a href=\"https:\/\/blogs.ubc.ca\/financefundamentals\/files\/2020\/05\/vid29.pdf\" style=\"float:left\" download=\"29_WACC_Introduction and Calculating the Weights_Transcript\">Download Transcript<\/a> <\/p>\n<div class=\"practiceq-label\"> <a href=\"https:\/\/blogs.ubc.ca\/financefundamentals\/quizzes\/practice-1-0-time-value-of-money\/\" style=\"float:right\">Practice Questions <b>&gt;&gt;<\/b><\/a> <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>29. WACC: Introduction and Calculating the Weights In finance, we know to use &#8220;r&#8221; as the appropriate rate to discount cashflows to account for risk and the time value of money. This &#8220;r&#8221; is also known as the cost of capital, opportunity cost, discount rate, interest rate, required rate of return, market rate, or the yield to maturity. But where does this &#8220;r&#8221; come from? Learn about what WACC (the weighted average cost of capital) is, how its components can be calculated, and how it can be used to discount&#8230;<a class=\"read-more\" href=\"https:\/\/blogs.ubc.ca\/financefundamentals\/2020\/03\/31\/video-29-wacc-introduction-and-calculating-the-weights\/\">read more<\/a><\/p>\n","protected":false},"author":42291,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[],"class_list":["post-515","post","type-post","status-publish","format-standard","hentry","category-module-4-risk-and-return","et-no-image","et-bg-layout-dark","et-white-bg"],"_links":{"self":[{"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/posts\/515","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/users\/42291"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/comments?post=515"}],"version-history":[{"count":4,"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/posts\/515\/revisions"}],"predecessor-version":[{"id":768,"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/posts\/515\/revisions\/768"}],"wp:attachment":[{"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/media?parent=515"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/categories?post=515"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.ubc.ca\/financefundamentals\/wp-json\/wp\/v2\/tags?post=515"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}