The WACC of International Business Machines Corp (IBM) is 7.6%.
| Range | Selected | |
| Cost of equity | 7.30% - 9.60% | 8.45% |
| Tax rate | 13.40% - 31.60% | 22.50% |
| Cost of debt | 5.00% - 5.00% | 5.00% |
| WACC | 6.7% - 8.4% | 7.6% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.74 | 0.85 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 7.30% | 9.60% |
| Tax rate | 13.40% | 31.60% |
| Debt/Equity ratio | 0.24 | 0.24 |
| Cost of debt | 5.00% | 5.00% |
| After-tax WACC | 6.7% | 8.4% |
| Selected WACC | 7.6% | |