Cost of retained earnings
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Cost of retained earnings, rs, is the rate of return required by stockholders on a firm's common stock.
Definitions
According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),
- Cost of retained earnings, rs. The rate of return required by stockholders on a firm's common stock.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
