Since many approaches to business valuation rely on an accurate estimate of the cost of capital. The history-based perspective set forth in the book “The Calculus of Financial Responsibility and the Rise and Fall of Nations” provides an influential and inspiring history of the interplay between financial acumen, focusing on accounting capabilities and the vitality and sustainability of nations at the state. level and the level of the corporate enterprise. The calculation provides information attesting to the foundation of double-entry accounting around 1300, placed in the Middle Ages up to the Italian republic such as Florence. An additional key element deemed by The Recking stated that the Dutch Republic, founded in the early 1600s, became the center of world trade by importing and exporting various goods from the Pacific and America. This negotiation process was the basis of the development of modern accounting. The world trade center contributed to the creation of public audits and the first major