The WACC of Advance Auto Parts Inc (AAP) is 7.2%.
| Range | Selected | |
| Cost of equity | 6.70% - 9.40% | 8.05% |
| Tax rate | 23.20% - 23.60% | 23.40% |
| Cost of debt | 4.50% - 9.90% | 7.20% |
| WACC | 5.6% - 8.8% | 7.2% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.62 | 0.8 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.70% | 9.40% |
| Tax rate | 23.20% | 23.60% |
| Debt/Equity ratio | 0.5 | 0.5 |
| Cost of debt | 4.50% | 9.90% |
| After-tax WACC | 5.6% | 8.8% |
| Selected WACC | 7.2% | |