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Rewrite the logarithmic equation in exponential form.
Retention Rate
A metric indicating the percentage of earnings not paid out as dividends but retained by the company for reinvestment.
Plowback Ratio
The proportion of the firm’s earnings reinvested in the business (and therefore not paid out as dividends). The plowback ratio equals 1 minus the dividend payout ratio.
Expected Growth Rate
The anticipated rate at which an investment, economy, or other financial entity will grow over a certain period.
Rate of Return
The outcome in terms of profit or loss on an investment over a designated period, presented as a percentage of the investment’s first cost.
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