Which of the following factors in the discounted cash flow (DCF) approach to estimating the cost of ordinary equity is the least difficult to estimate?

Question

Quizplus · Accepted Answer

Dividend yield is the least difficult to estimate as it can be calculated using the current market price of the stock and the most recent dividend payment. The other factors (expected growth rate, required return, and expected rate of return) are more complex and subject to greater uncertainty and variability.

Which of the Following Factors in the Discounted Cash Flow