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Cost of Equity Share Capital -Methods (in Hindi)
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This video covers Cost of Equity Share Capital -Methods.

Heena Malhotra
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Unacademy user
your explanation is very helpful thanks mam.u know how to deliver content to students in easy and undestable way
thanks ma'am for for such an awesome content I am highly thankful to u. maam I am in need of PDF of notes as covered in lecture. would you please provide me the same... Arun Agrawal
Heena Malhotra
7 months ago
You will find download ppt option along with every video
Arun Agrawal
7 months ago
PDF ??
Thnk u so much mam...
Hello Mam :) thanku so much for this great lesson on financial management. Your way of teaching is really great. Keep it up :) Mam I have a doubt in the cost of equity qus no 1. In that how have you multiplied 1.1/55*100+10% I did not get it. Can you please help me with that?
Heena Malhotra
9 months ago
Thank you so much Shalini :)
Heena Malhotra
7 months ago
Pleasure :)
  1. Cost of Capital By Heena Malhotra


  2. Cost of Capital Cost of RetainedCost and Weight Earning Cost of Combination of Cost of Equity Cost of Debt Preference Share of each sources of Capital Weighted Average Cost of Capital (WACC) By Heena Malhotra


  3. COST OF EQUITY SHARE CAPITAL- Methods O Dividend price basis O Dividend price plus growth basis o Earning/price basis O Earning/price plus growth basis O Realised Yield basis O CAPM By Heena Malhotra


  4. Dividend Price Approach O This is also known as Dividend Valuation Model. By Heena Malhotra


  5. Dividend Price Approach with Constant Dividend: o In this approach dividend is constant, which means there is no-growth or zero growth in dividend. Cost of Equity (K) Where, K. Cost of equity D Expected dividend PMarket price of equity (ex- dividend) taxation. assumt diven dividend) This model assumes that dividends are paid at a constant rate to perpetuity. It ignores By Heena Malhotra


  6. Dividend Price Approach with Constant Growth: Cost of Equity (Ke)- 4g Where, D, D (+g i.e.next expected dividend ,- Current Market price per share g Constant Growth Rate of Dividend By Heena Malhotra


  7. A company has paid divdend f1per share (office value off 10 each) last year and lt is expected to grow @ 10% ne tyear. Colculat the costo equityif the market price of share is7 55 Cost of Equity (K) DO 1 D1-1+10%of1-1.1 Cost of equity-1.1/55+10%-(1.1/55)*100+ 10%-2% +10%--12% By Heena Malhotra


  8. Earning basis 8 Cost of equityE/Po By Heena Malhotra


  9. Earning growth basis 8 Cost of equity Etg) +g By Heena Malhotra


  10. Realised Yield basis By Heena Malhotra