Is Weighted average cost of capital real or nominal?

The Weighted Average Cost of Capital (WACC) can be expressed in either real or nominal terms, depending on the context. A nominal WACC includes the effects of inflation, while a real WACC adjusts for inflation to reflect the true cost of capital in purchasing power terms. The choice between the two typically depends on the cash flows being discounted; if they are nominal cash flows, nominal WACC is used, and for real cash flows, the real WACC is appropriate.