Cost of equity share or debt is called ........

Principles of Accounting & Financial Management Cost of capital

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Cost of equity share or debt is called ___

Related cost of capital

Easy to calculate the cost of capital

Specific cost of capital

Burden on the shareholder

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Explanation:

There are two ways that a company can raise capital: debt or equity. Debt is cheaper, but the company must pay it back. Equity does not need to be repaid, but it generally costs more than debt capital due to the tax advantages of interest payments. The specific cost of capital would relate only to cost of equity.