WEIGHTED AVERAGE COST OF CAPITAL Definition

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WEIGHTED AVERAGE COST OF CAPITAL (WACC) is an average representing the expected return on all of a companys securities. Each source of capital, such as stocks, bonds, and other debt, is weighted in the calculation according to its prominence in the companys capital structure.

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FORWARD PREMIUM is when a currency trade forward price is higher than its spot price.

CAGR see COMPOUND ANNUAL GROWTH RATE.

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