The Percentage Trap, 138
The Weighted Average Cost of Capital, 139
The Theoretical Shape of the Weighted Average Cost of Capital Curve, 141
Acceleration Rates, 142
The WACC and Risk, 143
The Mechanics of the WACC: Risk Adjustment, 143
Corporate Method, 144
Risk Adjusted Method, 145
The Marginal Cost of Capital, 145
Decision Making and the Marginal Cost of Capital, 147
Economic Profit, EVA, and the Capital Dynamic: Utilizing the Opportunity Cost, 149 Elements in an EVA Calculation, 150
The Capital Dynamic, 151
The Relationship between EVA and the Capital Dynamic, 152
Economic Profit and Correlation, 152
Management of Economic Profit, 154
Component Movements of the Capital Dynamic, 157
The Comparative Capital Dynamic, 159