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Which is lower for a given company: the cost of debt or the cost of equity? Explain. Ignore taxes in your answer.
The cost of debt is all the time less than the cost of equity for a given firm. This is for the reason that the debt investor is taking a lower risk than the equity investor and thus the required rate of return is lower.
Dividend yield Dividend yield = (Dividend per share/Market share price) x 100% Dividend yield is the cash return on the share (not whole return which is cash dividend and ca
Calculate expected dividends
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