WACC Calculator

Weighted average cost of capital.

NZ$
NZ$
%
%
%
NZ company tax 28%
WACC
8.328%

About this calculator

WACC blends the after-tax cost of debt with the cost of equity, weighted by their market values.

  • Cost of equity often comes from CAPM.
  • Cost of debt is multiplied by (1 − tax) to reflect interest tax-deductibility.
Formula: WACC = (E/V × Re) + (D/V × Rd × (1 − tax))

Frequently asked questions

Should I use book or market values?
Market. Book values understate equity for profitable firms.

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Calculator NZ provides general information only. For decisions with significant financial, medical or legal consequence please consult a qualified professional.