YTM x (1 - Tax Rate) Systematic risk DGM requirement Significantly less than its alternative Short-term biased Growth driver DGM alternative Beta x (Rm - Rf) Discounting result "Bang-for-buck" measure Inflation measure Mean = 0 Use when project cash flows are assured [(Sales - Cost) x (1 - Tax Rate)] + [Depreciation x Tax Rate) Stock's return Financing cost Compounding frequency measure Capital gain R = Rf + Beta(Rm - Rf) Rm - Rf Match each of the options above to the items below. Simple interest No answer Compounding No answer Present value No answer Effective annual rate No answer Real return No answer g No answer Dividend