It is considered unlikely that the dividend growth and the SML approaches will result in different
estimates of the cost of equity for a given ﬁrm

Question

Quizplus · Accepted Answer

The dividend growth model and the Security Market Line (SML) approach can result in different estimates of the cost of equity due to differing assumptions and inputs, such as growth rates and market risk premiums.

It Is Considered Unlikely That the Dividend Growth and the SML