Marginal Cost Of Capital

Business, Legal & Accounting Glossary

Definition: Marginal Cost Of Capital


Marginal Cost Of Capital


Full Definition of Marginal Cost Of Capital


The cost associated with raising one additional dollar of capital. The marginal cost will vary according to the type of capital used. For example, raising funds through the use of unsecured or subordinated debt, or through debt that requires higher interest rates to offset risk, will be more expensive than debt that is backed by collateral, such as a secured bond.


Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/marginal-cost-of-capital/
Modern Language Association (MLA):
Marginal Cost Of Capital. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
April 23, 2024 https://payrollheaven.com/define/marginal-cost-of-capital/.
Chicago Manual of Style (CMS):
Marginal Cost Of Capital. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/marginal-cost-of-capital/ (accessed: April 23, 2024).
American Psychological Association (APA):
Marginal Cost Of Capital. PayrollHeaven.com. Retrieved April 23, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/marginal-cost-of-capital/

Definition Sources


Definitions for Marginal Cost Of Capital are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 20th November, 2021 | 0 Views.