Please write on computer Thank you.

Read this article online about the WACC that is being explained to professionals in business: http://www.zanders.nl/publicaties/documents/WACC_part1.pdf

By Thursday JUNE 1st 11:55 pm, answer this question by posting on this page your answer of about 5-7 sentences (click the "add" button below to post your answer).

QUESTION: How useful did you find that article? Why? Explain in details

For exaple

The article by Zanders consultants on WACC (Weighted Average Cost of Capital) is useful because it is detailed, through, and well-explained. I looked into other online sources as well, to have an idea how other websites were defining and illustrating the WACC, and this online article shared was by far the easiest to understand. Not because it was dumbed down, but the language used, along with a detailed explanation of what each of its components, in a pace that made me, someone who had just learned a little about the concept a couple days ago after reading the textbook, engage with the content. It also says things such as "this is this way because...", meaning it doesn't just simply tell how things are, but why, which instead of memorizing, you will actually understand and retain the information: once it makes sense, it's knowledge.

Another important point in the article is that it mentions how can there be mistakes in the calculation of the WACC, due to estimating and interpreting. That's why the authors compare the estimating of WACC to interpreting art. The better you can estimate the WACC, the better will be the quality of everything that will come out of using the WACC, such as capital budgeting and business valuation numbers.

Being the WACC such a relevant criteria for strategic decision making, I think this article is extremely useful.