1. What are the components of the required rate of return on a share using the dividend growth model and CAPM?
2. Which is more meaningful measure of profitability for a firm: return on assets (ROA) or return on equity (ROE) why?
3. Discuss the difference between operating income, nonoperating income, and other comprehensive income. Which of them is most important for evaluating the long-run profitability of a firm?