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What else can I help you with?
Is return on equity a profit or dividend?
Return on equity is influenced by profits and not from dividends.
What has the higher return preferred stock or common stock?
Dividend on common stock has to be more than dividend on preferred stock because of higher risk involved in equity investments.
Difference between retrun on equity and return on capital employed?
return on capital employed (ROCE) is net income/(debt&equity) whereas return on equity is income/equity (without debt).
Cost of equity using the dividend growth model?
The cost of equity using the dividend growth model (DGM) is calculated using the formula: ( r = \frac{D_1}{P_0} + g ), where ( r ) is the cost of equity, ( D_1 ) is the expected dividend next year, ( P_0 ) is the current stock price, and ( g ) is the growth rate of dividends. This model assumes that dividends will grow at a constant rate indefinitely. It is commonly used by investors to assess the expected return on equity investments based on future dividend payments.
What is the difference between return on equity and return on net worth?
Return on equity is the rate of returns you earned on your equity investments Return on net worth is the rate at which your entire property is growing (Your net worth is the sum of all your assets - all your liabilities)
What is the relationship between wacc and discount rate of return?
relationship between WACC and required rate of return.
Which term refers to the money paid to corporate investors in return for their investment?
dividend....
What are the two parts of the total return?
Dividend yield (return gained on dividend) and capital gains yield (return gained on stock price).
What is the difference between return on total equity and return on common equity?
Total equity and common equity are separate things where there is preference shares are also issued in that case only shares issued to common share holders are included in common equity while in total equity shares issued to preference shareholders are also included.
Both return on asset and return on equity measure profitability which one is more useful for comparing two companies why?
Return on asset= profit margin × asset turnover Return on equity= return on asset × equity multiplier so, return on equity is more comprehensive
Shamrock Dogfood Company has consistantly paid out 40 percent of its earnings in dividends The company's return on equity is 16 percent What would you estimate as its dividend growth rate?
We know that, g = br Here, g = growth rate b = retention ratio = (1- dividend pay-out ratio) = (1 - .40) = .60 r = return on equity = .16 So, g = .60 x .16 = .096 or 9.6% (ans)
Relationship between risk and return?
risk is pre-stage for return...
