The encroachment, breach, or violation of a right, law, regulation, or contract. The term is most frequently used in reference to the invasion of rights secured by Copyright, patent, or trademark.
Multiply the after-tax interest rate of your debt by the principal amount of your debt. The result will be the true annual dollar cost of your debt. For example, if your loan is for $100,000, your interest rate is 5 percent and your after-tax interest rate is 4 percent, $100,000 times 4 percent equals $4,000.
The cost of capital is comprised of the costs of debt, preferred stock, and common stock. The formula for the cost of capital is comprised of separate calculations for all three of these items, which must then be combined to derive the total cost of capital on a weighted average basis.he cost of capital is comprised of the costs of debt, preferred stock, and common stock. The formula for the cost of capital is comprised of separate calculations for all three of these items, which must then be combined to derive the total cost of capital on a weighted average basis.