Financial Dictionary

This dictionary contains:
24549
financial terms

Cost of capital




Cost of capital

The required return for a capital budgeting project.

RELATED TERMS
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Return
The change in the value of a portfolio over an evaluation period, including any distributions made from the portfolio during that period.

Capital
1) Assets used for the production of profits and wealth. 2) Owner's equity in a business.

Project
The asset constructed with or owned via a project financing, which is expected to produce cash flow at a debt-service coverage ratio sufficient to repay the project financing.



SIMILAR TERMS
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Cost
The opposite of revenue. An expense that reflects the price of purchasing goods, services and financial instruments. A cash cost means that cash is given up today to the purchase. Also, the purchase price of an investment, which is compared to the sale proceeds to determine capital gain or loss.

Cost accounting
A branch of accounting that provides information to help the management of a firm evaluate production costs and efficiency.

Cost basis
The original price of an asset, used to determine capital gains.

Cost benefit ratio
The net present value of an investment divided by the investment's initial cost. Also called the profitability index.

Cost of equity
The required rate of return for an investment of 100% equity.

Cost of funds
Interest rate associated with borrowing money.

Cost of goods sold
The total cost of buying raw materials, and paying for all the factors that go into producing finished goods.

Cost of lease financing
A lease's internal rate of return.

Cost of limited partner capital
The discount rate that equates the after-tax inflows with outflows for capital raised from limited partners.

Cost plus contract
A contract in which the selling price is based on the total cost of production plus a fixed percentage or fixed amount.

Cost push inflation
Inflation caused by rising prices, usually from increased raw material or labor costs that push up the costs of production.

Cost records
The records maintained by an investor of the prices at which securities transactions are made, so that capital gains can be computed.

Cost recovery period
The number of years it takes to fully depreciate a capital asset. This time period is based on classification of the depreciable life of an asset.

COSTA MESA Credit Union
COSTA MESA is a credit union with head office in COSTA MESA, CA

Costa Plata Inversiones, SICAV, S.A.
Costa Plata Inversiones, SICAV, S.A. is a Spanish company listed at Madrid Stock Exchange. Its business activity is capital investment.

Costa Rica currency abbreviation
CRC

Costa Rica mortgage
Costa Rica: Loans for the individual and corporate purchase of residential and other property anywhere in the country's territory.

Costa Rica mortgage broker
Costa Rica: intermediaries for the obtention of a mortgage loan.

Costa Rican Colon
The Costa Rican Colon is the official national currency of Costa Rica, and its ISO code is CRC. One Costa Rican Colon is divided into 100 Centimo units.

Costco Wholesale
Costco Wholesale is a top United States corporation in the field of retailing, and its estimated market value is 22,010 million US dollars.

Costco Wholesale Corporation
Costco Wholesale Corporation is one of the largest American companies in the IT industry. Its NASDAQ code is COST.



PREVIOUS AND NEXT TERMS
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Cosigner
A term referring to a person, other than the principal borrower, who signs for a loan. The cosigner(s) assumes equal liability for the loan.

Cost
The opposite of revenue. An expense that reflects the price of purchasing goods, services and financial instruments. A cash cost means that cash is given up today to the purchase. Also, the purchase price of an investment, which is compared to the sale proceeds to determine capital gain or loss.

Cost accounting
A branch of accounting that provides information to help the management of a firm evaluate production costs and efficiency.

Cost basis
The original price of an asset, used to determine capital gains.

Cost benefit ratio
The net present value of an investment divided by the investment's initial cost. Also called the profitability index.

Cost of capital

Cost of equity
The required rate of return for an investment of 100% equity.

Cost of funds
Interest rate associated with borrowing money.

Cost of goods sold
The total cost of buying raw materials, and paying for all the factors that go into producing finished goods.

Cost of lease financing
A lease's internal rate of return.

Cost of limited partner capital
The discount rate that equates the after-tax inflows with outflows for capital raised from limited partners.

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This dictionary contains 24549 terms.







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