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The Components of the Cost of Capital and Alternative Models

In: The Cost of Capital

Author

Listed:
  • Eva R. Porras

Abstract

In our Chapter 1 example, Jane Doe was trying to optimize her investment decision about what to do with her savings. This was by no means an easy task given that, to optimize results, she first needed to determine what criterion would help her measure realistically the expected performance of her options. Hence she was forced to examine the utility she could derive from each investment alternative available to her at the time of her analysis.

Suggested Citation

  • Eva R. Porras, 2011. "The Components of the Cost of Capital and Alternative Models," Palgrave Macmillan Books, in: The Cost of Capital, chapter 2, pages 43-93, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-29767-8_3
    DOI: 10.1057/9780230297678_3
    as

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