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Cost of Debt (Rd): The cost of debt refers to the effective interest rate that a company pays on its debt, such as bonds, loans, or other forms of borrowing. It represents the cost a company incurs to access funds through debtfinancing. It is often referred to as the “marketrisk premium.”
Growth Equity Definition: In traditional growth equity, firms invest minority stakes in companies with proven business models that need the capital to expand; some firms also use “growth buyout” strategies, which are like traditional leveraged buyouts but with higher growth potential. You could keep going and add plenty of names. based firms.
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