Examlex
One implication of the bird-in-the-hand theory of dividends is that a given reduction in dividend yield must be offset by a more than proportionate increase in growth in order to keep a firm's required return constant, other things held constant.
Required Rate Of Return
The minimum annual percentage earned by an investment that will induce individuals or companies to put their money into a particular security or project.
Annual Before Taxes
The total income or earnings generated by an entity during a fiscal year before any tax deductions.
Tax Rate
The degree of governmental claim on the earnings or profit of people and companies through taxation.
Operating Cash Flow (OCF)
A measure of the cash generated by a company's normal business operations, indicating its ability to cover operational expenses and invest in its business.
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