Concepts of Cost: Top 8 Concepts | Capital
The following points highlight the eight main concepts of cost. The concepts are: 1. Cost of Loan Capital 2. Cost of Equity Capital 3. Risk-Free Rate Plus Risk Premium 4. Dividend Capitalisation Approach 5. Capital Asset Pricing Model (CAPM) 6. Cost of Preference Shares 7. Cost of Retained Earnings (or Internal Equity) 8. The Composite or Overall Cost of Capital. [...]