Bank and Cost of equity: Difference between pages

Revision as of 11:10, 5 August 2013

(Ke).

The rate of return on a company’s net investments financed by equity which is required to service the providers of the company’s equity capital.

For example 10%.

The cost of equity is often quantified in practice by using either the Capital asset pricing model, or the Dividend growth model.

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-.
+(Ke).
-A regulated institution offering certain financial services.
-In the UK, the banking system includes the Bank of England (the Central Bank), the Commercial Banks, Merchant banks plus branches of foreign banks and the National Savings bank and the National Girobank.
+The rate of return on a company’s net investments financed by equity which is required to service the providers of the company’s equity capital.
+For example 10%.
-.
+The cost of equity is often quantified in practice by using either the Capital asset pricing model, or the Dividend growth model.
-To deposit (cash, cheques or similar) in a bank or transact business with a bank.
 == See also ==
-* [[Central bank]]
+* [[Capital asset pricing model]]
+* [[Cost of debt]]
+* [[Dividend growth model]]
+* [[Equity]]
+* [[Weighted average cost of capital]]