WACC and a Generalized Tax Code
Free University of Berlin (FUB)
Free University of Berlin (FUB) - Department of Business and Economics
Freie Universität Berlin
October 6, 2001
U. of Hannover, FB Wiwi, Diskussionspapier 243 (2001)
We extend the WACC approach to a tax system having a firm income tax and a personal income tax of the investor as well. We use an artifical tax system incorporating most of the G-7 national tax codes as for example the classical or the imputation systems.
On our website http://www.wacc.info WACC formulas according to many of the actual G-7 national tax codes can be found.
Number of Pages in PDF File: 8
Keywords: WACC; Leverage ratio; Tax shield
JEL Classification: G31, H34
Date posted: October 10, 2001