Further, r can also be calculated using Capital asset pricing model (CAPM). (tradebrains.in)
Developed appropriate cost of capital given economic cycles, industry trends, and historical financial performance with Capital Asset Pricing model, Build - Up model, and Weighted Average Cost of Capital. (jobhero.com)
Jensen's alpha takes into consideration capital asset pricing model (CAPM) market theory and includes a risk - adjusted component in its calculation. (investopedia.com)