Where is inflation accounted for in WACC?

I never thought about this so I thought I would post on here. Is it part of the risk-free rate, stock returns, etc?

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3 Comments

Orlando Salazar

CB

8y

Risk free rate should always account for inflation expectations.

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Authored by: Certified Commercial Banking Professional - Vice PresidentCertified Commercial Banking Pro

George_Banker

O

8y

In your exit multiple or terminal growth Rate.

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FinanceBrah

HF

8y

Best Response

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Where is inflation accounted for in WACC?

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Where is inflation accounted for in WACC?

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