Why would the WACC based on market values tend to be higher than the one based on

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Why would the WACC based on market values tend to be higher than the one based on book values if the stock price exceeded its book value?

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Fundamentals Of Financial Management Concise Edition

ISBN: 9781285065137

8th Edition

Authors: Eugene F. Brigham, Joel F. Houston

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Question Posted: Jul 19, 2024 04:04 PM

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Why would the WACC based on market values tend to be higher than the one based on book values if the stock price exceeded its book value?
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Why would the WACC based on market values tend to be higher than the one based on

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Fundamentals Of Financial Management Concise Edition

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