The Return That Shareholders Require on Their Investment in the Firm

question 69

Multiple Choice

The return that shareholders require on their investment in the firm is called the:

• A) dividend yield.
• B) cost of equity.
• C) capital gains yield.
• D) cost of capital.
• E) income return.

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Definitions:

Conditioned Stimulus

A previously neutral stimulus that, after becoming associated with an unconditioned stimulus, eventually triggers a conditioned response.

Original Stimulus

The initial factor or event that triggers a response or reaction in a behavioral, emotional, or cognitive context.

External Causes

Involves factors or circumstances outside an individual or system that impact outcomes or situations.

Internal Causes

Factors within a person, such as beliefs, desires, or personality traits, that explain their behaviors and decisions.