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Still Many Ways to Skin a Capital Cost

Harvard Business Review

Did it surprise him to find that there was so little consensus on the best way to solve the problem of assigning a cost to capital? The very lack of consensus in CAPM interpretation, he thought, was consistent with the workings of healthy and efficient markets. "It

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Why Sit on All that Cash? Firms Uncertain on Cost of Capital

Harvard Business Review

There was little consensus about cost of capital practices; instead, respondents typically deployed a plurality of techniques. AFP conducted the Cost of Capital Survey in October 2010 and received answers from 309 chief financial officers, treasurers, vice presidents-finance, and assistant treasurers.