The Cost of Capital

9-1
POSISI KEUANGAN
AKTIVA PASIVA
AKTIVA LANCAR: HUTANG:
1. Kas 1. Jangka pendek
2. Piutang 2. Jangka Panjang (Obligasi)
3. Persediaan 3. Saham Preferen
4. Investasi Jk. Pendek
5. Aktiva Lancar Lainnya
AKTIVA TETAP: EKUITAS:
1. Tanah 1. Common Stock (saham biasa)
2. Gedung 2. Laba Yang Ditahan
3. Mesin
4. Dll Aktiva Tetap
TOTAL AKTIVA TOTAL PASIVA 9-2
 What sources of long-term
capital do firms use?

Long-Term Capital

Long-Term Debt Preferred Stock Common Stock

9-3
MENGHITUNG WACC
(weighted average cost of capital)

WACC = wdkd(1-T) + wpkp + wcks

 Penimbang dari struktur modal

 k adalah biaya dari komponen modal
 w adalah proporsi dana
 Dihitung setelah pajak  ada tax
deductible atau tax shield
9-4
Tax Deductible
LAPORAN LABA RUGI
PERUSAHAAN DENGAN HUTANG PERUSAHAAN TIDAK HUTANG
EBIT 1000 EBIT 1000
i=10% x 2000 200 I 0
EBT 800 EBT 1000
TAX 40% 320 TAX 40% 80 400
EAT 480 EAT 120 600

I (1-TAX) = 200 (1-0.4) =

HUTANG 2.000 BUNGA 10% 200 x 0.6 = 120

9-5
Component cost of debt
WACC = wdkd(1-T) + wpkp + wcks

 kd harus dihitung after tax tax shield

atau tax deductible

9-6
LAPORAN LABA RUGI
PENJUALAN 1.000.000
HPP: - Biaya Bahan Baku 300.000
- Biaya Tenaga Kerja Langsung 200.000
- Biaya Overhead Pabrik 100.000 500.000
LABA KOTOR 500.000
BIAYA OPERASIONAL:
- Gaji tenaga kerja tidak langsung 50.000
- Biaya administrasi 10.000
- Biaya Promosi 20.000
- DLL biaya operasional lainnya 20.000 100.000
EARNING BEFORE INTEREST AND TAX (EBIT) 400.000
BUNGA (i) => I X jumlah hutang= 10% x 200.000 20.000
EARNING BEFORE TAX (EBT) 380.000
TAX = …% x EBT = 40% x 380.000 152.000
EARNING AFTER TAX (EAT) 228.000
DEVIDEN SAHAM PREFEREN 2% Saham preferen, @1000; 2000 lbr 40.000
DEVIDEN COMMON STOCK 188.000
9-7
 Component cost of preferred
stock
WACC = wdkd(1-T) + wpkp + wcks

kp = Dp / Pp
= $10 / $111.10
= 9%
Risiko dan deviden lebih rendah dibanding
hutang
9-8
Component cost of equity
WACC = wdkd(1-T) + wpkp + wcks

 ks => digunakan retained earnings.

 The rate of return investors require on
the firm’s common equity using new
equity is ke=> bila mengeluarkan
saham baru
9-9
Menghitung ks
 CAPM: ks = kRF + (kM – kRF) β

 DCF:ks = D1 / P0 + g

 Own-Bond-Yield-Plus-Risk Premium:
ks = kd + RP

9-10
 Contoh menggunakan CAPM

kRF = 7%, RPM = 6%, beta 1.2

ks = kRF + (kM – kRF) β

= 7.0% + (6.0%)1.2 = 14.2%

9-11
 Contoh menggunakan DCF approach?

D0 = $4.19, P0 = $50, and g = 5%,

D1 = D0 (1+g)
D1 = $4.19 (1 + .05)
D1 = $4.3995

ks = D1 / (P0 + g)
= $4.3995 / (($50 + (0.05 x$50))
9-12
= 13.8%
Memperkirakan Tingkat Pertumbuhan

 ROE = 15%, Laba ditahan 35% (dividend

payout = 65%). Maka pertumbuhan
perusahaan:

g = ( 1 – Payout ) (ROE)
= (0.35) (15%)
= 5.25%

9-13
Contoh menghitung ks menggunakan
the own-bond-yield-plus-risk-premium
method

kd = 10% and RP = 4%
ks = kd + RP
ks = 10.0% + 4.0% = 14.0%

9-14
Bila Hasil ks berbeda dengan
metoda yang berbeda

Method Estimate
CAPM 14.2%
DCF 13.8%
kd + RP 14.0%
Average 14.0%

9-15
Biaya laba ditahan lebih murah
disbanding penerbitan common stock?
 Penerbitan saham baru ada flotation costs
yang dibayar underwriter.
 Penerbitan saham baru memberikan signal
negative sehingga bisa menurunkan harga
saham yang sudah beredar.

9-16
Bila flotation cost of 15% berapa ke?

D 0 (1  g)
ke  g
P0 (1 - F)
$4.19(1.05)
  5.0%
$50(1 - 0.15)
$4.3995
  5.0%
$42.50
 15.4%
9-17
 Menghitung WACC

HUTANG 30  30/100 = 0.3

SAHAM PREFEREN 10  10/100 = 0.1
SAHAM BIASA 60  60/100 = 0.6
JUMLAH 100
WACC = wdkd(1-T) + wpkp + wcks
= 0.3(10%)(0.6) + 0.1(9%) + 0.6(14%)
= 1.8% + 0.9% + 8.4%
= 11.1%

9-18
What factors influence a
company’s composite WACC?
 Market conditions.
 The firm’s capital structure and
dividend policy.
 The firm’s investment policy. Firms
with riskier projects generally have a
higher WACC.

9-19
Should the company use the
composite WACC as the hurdle rate
for each of its projects?
 NO! The composite WACC reflects the risk
of an average project undertaken by the
firm. Therefore, the WACC only represents
the “hurdle rate” for a typical project with
average risk.
 Different projects have different risks. The
project’s WACC should be adjusted to
reflect the project’s risk.

9-20
 Risk and the Cost of Capital
Rate of Return
(% ) Acceptance Region

W ACC

12.0 H

10.5 A Rejection Region

10.0
9.5 B
8.0 L

Risk
0 Risk L Risk A Risk H

9-21
What are the three types of
project risk?
 Stand-alone risk
 Corporate risk
 Market risk

9-22
How is each type of risk used?
 Market risk is theoretically best in most
situations.
 However, creditors, customers,
suppliers, and employees are more
affected by corporate risk.
 Therefore, corporate risk is also
relevant.

9-23
Problem areas in cost of capital
 Depreciation-generated funds
 Privately owned firms
 Measurement problems
 Adjusting costs of capital for
different risk
 Capital structure weights

9-24
How are risk-adjusted costs of
capital determined for specific
projects or divisions?
 Subjective adjustments to the firm’s
composite WACC.
 Attempt to estimate what the cost of
capital would be if the project/division
were a stand-alone firm. This requires
estimating the project’s beta.

9-25
Finding a divisional cost of capital:
Using similar stand-alone firms to
estimate a project’s cost of capital
 Comparison firms have the following
characteristics:
 Target capital structure consists of 40%
debt and 60% equity.
 kd = 12%
 kRF = 7%
 RPM = 6%
 βDIV = 1.7
 Tax rate = 40%
9-26
 Calculating a divisional cost of capital

 Division’s required return on equity

 ks = kRF + (kM – kRF)β
= 7% + (6%)1.7 = 17.2%
 Division’s weighted average cost of capital
 WACC = wd kd ( 1 – T ) + wc ks
= 0.4 (12%)(0.6) + 0.6 (17.2%) =13.2%
 Typical projects in this division are
acceptable if their returns exceed 13.2%.
9-27