When Discounting Dividends You Should Use

question 26

Multiple Choice

When discounting dividends you should use:

• A)the weighted average cost of capital.
• B)the after-tax weighted average cost of capital.
• C)the equity cost of capital.
• D)the before-tax cost of debt.

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Definitions:

Norms

Established standards of behavior maintained by a society, regarded as acceptable or typical for its members.

Collective Action

Occurs when people act in unison to bring about or resist social, political, and economic change. Some collective actions are routine. Others are nonroutine. Routine collective actions are typically nonviolent and follow established patterns of behavior in existing types of social structures. Nonroutine collective actions take place when usual conventions cease to guide social action and people transcend, bypass, or subvert established institutional patterns and structures.

Political Protest

An expression of objection or disapproval towards political ideas or actions, often in a public context.

Model Parliament

A historical term or concept relating to representative assemblies or efforts to simulate parliamentary democracy as an educational tool.