Contour plowing. Contour ploughing or contour farming is the farming practice of ploughing and/or planting across a slope following its elevation contour lines. These contour lines create a water break which reduces the formation of rills and gullies during times of heavy water run-off; which is a major cause of top soil loss and soil erosion.
The ex-ante cost of equity capital is the core fac-tor in financial decision making such as equity valuation or project evaluation. As the ex-ante cost of equity capital is not observable, the ex-post realized stock return has been utilized as an indirect measure of the ex-ante cost of equity capital.However, the realized stock return has been proven as a noisy proxy for the ex-ante cost of eq-uity (Fama and French, 1997; Elton, 1999).sia-Pacific Journal of Financial Studies (2008) v37 n4 G  which suggests that the ICOE may reduce the noises in the ex-post stock returns as a proxy for the ex-ante cost of equity capital. Table 2 also reports the correlations among risk proxies.
Below is graphical representation of the market value of the weighted average cost of capital calculations. It shows how the capital structure is divided in to 3 parts consisting of $480,000 debt (9% in blue), $650,000 of preferred stock (12% in pink) and $4,200,000 of common stock (79% in green).eighted Average Cost of Capital is a calculation of the overall cost of capital used by a corporation and is an average representing the total return (in percent) that is expected of an organization on all its assets, debts and ownerâs equity to maintain its current stock price & valuations.