Description

tax component costs, preferred stock, and common equity.
Percentages of the different sources of capital the firm plans to use on a regular basis, with the percentages based on the market values of those sources.
Sources of investor-supplied capital used to determine the weighted average cost of capital, including common stock, preferred stock, and long term debt.
The required rate of return on new debt
Used in rate case hearings for public utilities but not for valuation.
The average coupon rate on a company's outstanding debt; also called the historical rate. Used in rate case hearings for public utilities but not for valuation.
A company's after-tax cost of providing the required rate of return on debt.
Often expressed as F, the total dollar value of flotation costs expressed as a percentage of proceeds
Flotation costs include commissions, legal expenses, fees, and any other costs that a company incurs when it issue new securities.
For perpetual preferred, it is the preferred dividend, Dps, divided by the net issuing price after flotation costs, (1-F)Pps. required
Is the rate that shareholders require to be fairly compensated for the risk they bear.
A firm's cost to provide rs, the return required by the firm's common stockholders.
Often called the dividend capitalization model. Sometimes called the dividend-yield-plus-growth-rate approach or the discounted cash flow (DCF) approach.
Method of estimating a stock's cost of equity as the sum of its expected dividend yield and constant growth rate.
Percentage of net income paid as a cash dividend. Often denoted by POR.
Percentage of net income retained: i.e., the percent not paid as a cash dividend.
Shows how growth is related to reinvestment and is expressed as follows g=ROE (retentionratio)
may differ from the company's overall cost of capital if division's risk or debt capacity differs from those of the company.
The money you have left to spend or save after taxes and other deductions (required and optional) are taken.
A set of goals for spending, saving, and investing the money you receive.
A spending and saving plan based on your expected income and expenses.
Managing a budget.

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MBA 503

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KEY TERM TOPIC 2.3

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Frequently Asked Questions

What is a crossword?

Crossword puzzles have been published in newspapers and other publications since 1873. They consist of a grid of squares where the player aims to write words both horizontally and vertically.

Next to the crossword will be a series of questions or clues, which relate to the various rows or lines of boxes in the crossword. The player reads the question or clue, and tries to find a word that answers the question in the same amount of letters as there are boxes in the related crossword row or line.

Some of the words will share letters, so will need to match up with each other. The words can vary in length and complexity, as can the clues.

Who is a crossword suitable for?

The fantastic thing about crosswords is, they are completely flexible for whatever age or reading level you need. You can use many words to create a complex crossword for adults, or just a couple of words for younger children.

Crosswords can use any word you like, big or small, so there are literally countless combinations that you can create for templates. It is easy to customise the template to the age or learning level of your students.

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How do I choose the clues for my crossword?

Once you’ve picked a theme, choose clues that match your students current difficulty level. For younger children, this may be as simple as a question of “What color is the sky?” with an answer of “blue”.

Are crosswords good for students?

Crosswords are a great exercise for students' problem solving and cognitive abilities. Not only do they need to solve a clue and think of the correct answer, but they also have to consider all of the other words in the crossword to make sure the words fit together.

Crosswords are great for building and using vocabulary.

If this is your first time using a crossword with your students, you could create a crossword FAQ template for them to give them the basic instructions.

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Can I create crosswords in other languages?

Crosswords are a fantastic resource for students learning a foreign language as they test their reading, comprehension and writing all at the same time. When learning a new language, this type of test using multiple different skills is great to solidify students' learning.

We have full support for crossword templates in languages such as Spanish, French and Japanese with diacritics including over 100,000 images, so you can create an entire crossword in your target language including all of the titles, and clues.