Question
AU.S. MNC evaluates the expansion opportunities in Bangladesh, where the country risk premium is 6.83%. Company beta is 0.9, and the average 10-year return
AU.S. MNC evaluates the expansion opportunities in Bangladesh, where the country risk premium is 6.83%. Company beta is 0.9, and the average 10-year return on the S&P 500 market index is 8.7%. U.S. Treasury bills trade at 3%. What is the cost of equity for the anticipated project? 14.96% 17.36% 17.66% D 12.03%
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