Introduction of the term Cost of equity shares

Question

Give a brief introduction of the term Cost of equity shares?

Answer 1

Cost of equity shares is the hardest work to evaluate and it also elevates lots of difficulty while working on its computations. Its major cause is to facilitate the management that is to make the decisions in the better interest of the equity holders. There is a certain amount of equity capital that should be earned on projects before increased any equity funds or recognition of finance for other projects.