Term
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Definition
| full years until recovery+(unrecovered cash at the beginning of the last year/cash flow during the last year) |
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Term
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Definition
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Term
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Definition
| PV of future cash flows/CF0 |
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Term
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Definition
| (Wd)*[Costd(1-t)]+(Wps)(Costps)+ (Wce)(Costce) |
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Term
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Definition
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Term
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Definition
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Term
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Definition
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Term
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Definition
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Term
| cost of preferred stock (Costps) |
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Definition
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Term
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Definition
| amount of capital at which the component's cost of capital changes/weight of the component in the capital structure |
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Term
| Costce (with Country risk premium) |
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Definition
| Rf + Beta[E(Rmkt)-Rf+CRP] |
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Term
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Definition
| (annualized st. dev. of equity index of developing country/Annualized st. dev. of sovereign bond market in terms of the developed market currency) |
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Term
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Definition
| difference between government bond yield in the developing country denominated in the local currency, and a treasury bond of a similar marturity |
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Term
| Extended DuPont Expression |
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Definition
| (Operating income/revenues)*(EBT/operating income)*(1-(taxes/income before taxes))*(revenues/avg. total assets)*(avg. total assets/ avg. shareholders' equity) |
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Term
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Definition
| operating profit margin*effect of nonoperating items*tax effect*total asset turnover*financial leverage |
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Term
| Expected rate of return from a probability model E(R) |
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Definition
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Term
| Expected rate of return from historical data AVG. R |
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Definition
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Term
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Definition
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Term
| variance of returns from historical data |
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Definition
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