The WACC of International Business Machines Corp (IBM) is 8.0%.
| Range | Selected | |
| Cost of equity | 7.80% - 11.10% | 9.45% |
| Tax rate | 10.50% - 31.60% | 21.05% |
| Cost of debt | 4.00% - 5.40% | 4.70% |
| WACC | 6.7% - 9.3% | 8.0% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.85 | 1.12 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.80% | 11.10% |
| Tax rate | 10.50% | 31.60% |
| Debt/Equity ratio | 0.34 | 0.34 |
| Cost of debt | 4.00% | 5.40% |
| After-tax WACC | 6.7% | 9.3% |
| Selected WACC | 8.0% | |