Identify the Following Terms

question 9

Short Answer

Identify the following terms.
-Kangxi

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Definitions:

Floatation Costs

Expenses incurred by a company in issuing new securities, including underwriting fees and legal and administrative fees.

Cost of Retained Earnings

The rate of return that shareholders expect on the earnings that a company keeps and reinvests in its operations.

Risk Premium

The extra return expected by an investor for holding a risky asset rather than a risk-free asset.

Flotation Costs

The costs incurred by a company in issuing new securities, including underwriting, legal, and registration fees.