In this post, we are going to walk you through an example of calculating the weighted average cost of capital (WACC) using Excel.
For illustration purposes, we are going to calculate the WACC of Barrick Gold, a major Canadian mining company. [caption id="attachment_613" align="aligncenter" width="628"] Barrick Gold as at January 25 2019. Source: Stockchart.com[/caption] The WACC is calculated as follows,
where To calculate the
Table below shows the calculation for the cost of equity as at September 30, 2018, As for the Finally, we proceed to calculate the WACC. Table below shows the calculation steps and results, Click on the link below to download the Excel workbook which contains detailed calculation steps and references. Originally Published Here: Weighted Average Cost of Capital (WACC)-Business Valuation Calculator in Excel
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