The Particular Words and Phrases That Make Up a Sentence

question 28

Multiple Choice

The particular words and phrases that make up a sentence are its ________ structure.

• A) simple
• B) surface
• C) complex
• D) deep

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Definitions:

Cost of Equity

The return a company requires to decide if an investment meets capital return requirements and can be seen as the opportunity cost of investing capital elsewhere.

Dividend Growth Model

A model used to estimate the value of a dividend-paying stock, based on the assumption that dividends will continue to grow at a constant rate.

Estimated Growth Rate

The projected rate at which a company, economy, or investment is expected to grow.

Cost of Capital

The cost of funds used for financing a business, typically expressed as a rate of return that the company must earn before generating value.