Identify the Following Terms

question 35

Short Answer

Identify the following terms.
-Yi Song Gye

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Definitions:

Lenders' Return

The profit or interest earned by lenders for providing funds to borrowers, reflecting the compensation for the risk of lending and the time value of money.

Equity Investment

A financial contribution into shares of a company, granting the investor ownership rights and potential profit shares.

WACC

The Weighted Average Cost of Capital, a calculation of a firm's capital cost that weighs each category of capital (equity, debt, etc.) proportionally.

Risk Level

A measure of the potential for loss in an investment or business decision.