equity financing is well known as costing more than debt financing, why is the NPV of equity
Fantastic news! We've Found the answer you've been seeking!
Question:
equity financing is well known as costing more than debt financing, why is the NPV of equity financing so much higher than that with debt financing? What is the proper discount factor to use when evaluating a project, the cost of debt, the cost of equity, or the WACC? Why?
Posted Date: