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Dividends & Capital Gains

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Q: What are the two items whose sum is he cost of equity?
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What are the two items whose sum is the cost of equity?

Dividends & Capital Gains


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What is the formula for calculating total debt ratio?

Sum of all liabilities divided by sum of equity. E.g.: A company owes £150,000 as a bank loan, and has a share capital of £1,000,000. The debt/equity ratio is 15 per cent. This ratio is also known as "gearing" or "leverage".


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