banner image

Opt In (Do Not Edit Here)

banner image

Realized Yield Approach

Realized Yield Approach:

It is the easy method for calculating cost of equity capital. Under this method, cost of equity is calculated on the basis of return actually realized by the investor in a company on their equity capital.

Ke = PVf × D

[Post Image Courtesy of Adamr at]


Ke = Cost of equity capital.

PVƒ = Present value of discount factor.

D = Dividend per share.

Realized Yield Approach Realized Yield Approach Reviewed by Blog Editor on Sunday, April 30, 2017 Rating: 5

No comments:

Do you have any reasonable comments for this post ? Please feel free to drop them below using the comment box. We will moderate and publish them as soon as possible. Cheers !

Powered by Blogger.