r in the formula is real or nominal required return?
Nominal, unless otherwise stated.
make sure you use Real r if dealing with inflation pass through calculations for P/E 1/r’real+(1-inf pass through)*inflation rate
r in the formula is real or nominal required return?
Nominal, unless otherwise stated.
make sure you use Real r if dealing with inflation pass through calculations for P/E 1/r’real+(1-inf pass through)*inflation rate