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10. Ndjustipey the cost of capital tor risk Divisionit Costs of Capital This mears that the firm's real estate divison wil have a cost of

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10. Ndjustipey the cost of capital tor risk Divisionit Costs of Capital This mears that the firm's real estate divison wil have a cost of captal of 12,12% 9.60% This means that the firm's consulting division wat have a cost of capital of: 17.13% 16.735 15.7640 10:28% The distabution divion wil have less risk than the firmis real estate divmon, so its beta in expected to be o. The means that the distibutien divisen s cost of capital nat ben: 16.5340.68%1783817.73%5 9.68% 17.03% 17.73% division. Based on this information, what rute of retum should its investors require once it opens the new divisions? (Note: Roond your mitermedabe babulaim to two decimal phaces.) 16.87% 14.97% 13.42% 1212%

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