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According to place theory,the perception of
Cost of Retained Earnings
The opportunity cost to shareholders for having a company retain earnings instead of paying them out as dividends.
Flotation Costs
Expenses incurred by a company in issuing new securities, including legal, administrative, and underwriting fees.
Constant Rate
A fixed percentage or value that does not change over a specified period of time, often used in financial formulas to calculate growth or decay.
Retained Earnings
The portion of net income not distributed to shareholders but instead reinvested in the business or used to pay off debt.
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