In minute 2:31 you say that the MCC is 14% but if it went from 12% to 14% shouldn't the MCC be 2% (the additional cost given a unit increase in capital). Thank you! BTW your videos are pretty good!
love u.....whenever i stuck in any topic, i watch ur video on that topic and then it become so clear to me. Really appreciate ur effort to make these complex topic so understandable. Thank You......
@smosqueiraumd - the cost of raising an extra $ is the MCC, which in this case is 14%, i.e., you are paying $0.14 on the additional $ borrowed. So, Mr. Irfanullah has stated correctly.
Good Video. Thanks a lot. I have one doubt abt the tax rate impacting the cost of capital. Do u have any video specifically on that or is there any other website. Thanks.
You are most welcome! IFT's objective is to help CFA candidates around the world. There is more material on our website: ift.world/ as well as a free video trial. Please like our FB page (facebook.com/CFA.Trainer) to support us. Thanks!
+Yasir Zuberi You are most welcome! IFT's objective is to help CFA candidates around the world. There is more material on our website: ift.world/ Please like our FB page (facebook.com/CFA.Trainer) and join Analystforum.com where I will be most grateful if you can show your status as “Studying with IFT”. Thank you!
MCC is the cost of additional capital and NOT the change in cost of of capital. Hence using 14% when the cost of capital goes up is correct.
In minute 2:31 you say that the MCC is 14% but if it went from 12% to 14% shouldn't the MCC be 2% (the additional cost given a unit increase in capital). Thank you!
BTW your videos are pretty good!
Thank you for your videos, Mr. Irfanullah. You, Sir, have a talent for teaching! Very effective.
Cara Hagemeyer Thank you its a pleasure!. Did you try your free trial?.
Not yet.
thank you professor for this video! you can't know how much you helped me for my finals right now!!
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love u.....whenever i stuck in any topic, i watch ur video on that topic and then it become so clear to me. Really appreciate ur effort to make these complex topic so understandable. Thank You......
I love you sir! Your teaching is the best
@smosqueiraumd - the cost of raising an extra $ is the MCC, which in this case is 14%, i.e., you are paying $0.14 on the additional $ borrowed. So, Mr. Irfanullah has stated correctly.
Good Video. Thanks a lot. I have one doubt abt the tax rate impacting the cost of capital. Do u have any video specifically on that or is there any other website. Thanks.
You are a lifesaver Mr. Irfanullah :D You have earned another subscriber :)
You are most welcome! IFT's objective is to help CFA candidates around the world. There is more material on our website: ift.world/ as well as a free video trial. Please like our FB page (facebook.com/CFA.Trainer) to support us. Thanks!
Hey Mr Irfanullah - i have to say your videos are so good! thankyou!
+Yasir Zuberi You are most welcome! IFT's objective is to help CFA candidates around the world. There is more material on our website: ift.world/ Please like our FB page (facebook.com/CFA.Trainer) and join Analystforum.com where I will be most grateful if you can show your status as “Studying with IFT”. Thank you!
U have very well presented the matter ... :)
good video !