Business Studies, asked by snhvnmeena, 7 months ago

define marginal cost of capital

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Answered by tanishachd75

6

Answer:

The term marginal cost of funds refers to the increase in financing costs for a business entity as a result of adding one more dollar of new funding to its portfolio. As an incremental cost or differentiated cost, the marginal cost of funds is important when businesses need to make future capital structure decisions.

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