### From inside the book

Results 1-3 of 87

Page 220

**RISK**AND COMPARABLE EARNINGS The comparable earnings standard suggests that the regulated firm should earn a return similar to that of other firms with correspond- ing**risk**.**Risk**is left undefined by the courts . It could be the**risk**...Page 234

2 ( R ) m i ' ( 3 ) This is the equivalent to saying that the equilibrium expected return for a risky asset is equal to a riskless rate of interest plus a linear

2 ( R ) m i ' ( 3 ) This is the equivalent to saying that the equilibrium expected return for a risky asset is equal to a riskless rate of interest plus a linear

**risk**premium equal to the product of the**risk**premium per unit of**risk**...Page 238

1 & 2 If R = 1 / Σ Β 9 i then substituting into ( 10 ) and ( 9 ) , rearranging and solving for vj we have : V = j 1 ( u ; - Rb ; ) r ( 14 ) where v is the market value of the firm and R can be interpreted as the price of

1 & 2 If R = 1 / Σ Β 9 i then substituting into ( 10 ) and ( 9 ) , rearranging and solving for vj we have : V = j 1 ( u ; - Rb ; ) r ( 14 ) where v is the market value of the firm and R can be interpreted as the price of

**risk**...### What people are saying - Write a review

We haven't found any reviews in the usual places.

### Contents

FIRST SESSION Regulation and the Utility Industries | 1 |

SOLVING THE INFLATION DILEMMA | 103 |

FOURTH SESSION | 111 |

27 other sections not shown

### Other editions - View all

### Common terms and phrases

accounting additional adjustment agencies allowed amount analysis application average base basis believe capacity capital changes charges Commission common companies competition concerned considered construction consumer continue cost curves customers decision demand depreciation determine earnings economic effect efficiency electric utilities energy equity estimated example existing expected expense fact factor Federal firm fuel future going growth higher important income increase industry inflation interest investment investors Iowa issues less load marginal means measure method Michigan natural operating peak percent period plant possible present problems production Public Utilities question rate of return ratio reasonable recent reduce regulation regulatory requirements reserve result revenue risk structure supply telephone tion unit