Examlex

Solved

A Selection Ratio Is Defined as

question 6

Multiple Choice

A selection ratio is defined as


Definitions:

Cost Of Equity

The return that a company requires to decide if an investment meets capital return requirements; it is often used by firms to evaluate the cost of funding from equity financing.

Growth Rate

A measure of how much a particular variable, such as revenue, profit, or investment value, increases over a specific period.

WACC

The Weighted Average Cost of Capital measures a corporation's capital costs by proportionally weighting each capital category involved.

Capital Budgeting

The process a business undertakes to evaluate and select long-term investments that are likely to pay off over several years.

Related Questions