Between the Two Models Constant Dividend Growth Model (CDGM)and Capital

question 84

Essay

Between the two models Constant Dividend Growth Model (CDGM)and Capital Asset Pricing Model (CAPM),which is a better method for computation of the cost of equity?

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Definitions:

Id

Within the framework of psychoanalytic theory, it refers to the segment of the mind responsible for generating innate impulses and urging the instant gratification of basic desires.

Anxiety

A feeling of worry, nervousness, or unease about something with an uncertain outcome, often accompanied by physical sensations such as increased heart rate.

Unconscious Mind

The part of the mind that is beyond consciousness, harboring thoughts, memories, and desires that are not immediately accessible but influence behavior.

Superego

The part of the personality in Freudian psychoanalysis that represents internalized ideals and provides standards for judgment.