Track: Engineering Economy
Abstract
This report will explain the methodology used by a listed company to compute the Weighted Average Cost of Capital along with some of its applications. The first part will contain a summary of the process followed by the Moroccan company Marsa Maroc in order to compute its WACC, after being listed in the stock exchange. In fact, it provides the framework followed by any listed company in order to evaluate the variable aforementioned. In addition, this report will include a sensitivity analysis and a regression study to show the importance of the WACC. Moreover, the report will have a section dedicated to the evaluation of the company using the WACC and DCF method.