## Research Collection Lee Kong Chian School Of Business

#### Title

Rate of Return under Re-Capitalisation: A Note

Journal Article

10-1988

#### Abstract

Conclusion The measure in (6) is suggested as the most appropriate measure when n is over a month or so for it explicitly takes into account time value. For small n (e.g. daily returns), we can assume k=0, n=1, and therefore, the time value is not an issue and we can simplify (6) as: $$1 + R_{t + 1} = {{[P_{t + 1} \{ 1 + ({1 \mathord{\left/ {\vphantom {1 N}} \right. \kern-\nulldelimiterspace} N})\} + D_{t + 1} ]} \mathord{\left/ {\vphantom {{[P_{t + 1} \{ 1 + ({1 \mathord{\left/ {\vphantom {1 N}} \right. \kern-\nulldelimiterspace} N})\} + D_{t + 1} ]} {[P_t ({I \mathord{\left/ {\vphantom {I N}} \right. \kern-\nulldelimiterspace} N})]}}} \right. \kern-\nulldelimiterspace} {[P_t ({I \mathord{\left/ {\vphantom {I N}} \right. \kern-\nulldelimiterspace} N})]}}$$ .

Finance

#### Publication

Asia Pacific Journal of Management

6

1

141

147

0217-4561

#### Identifier

10.1007/bf01732255

Springer Verlag

COinS