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10. You gathered the following information: Economic Conditions Prob. Return Strong Normal Weak 30% 15 40% -3 30% 10 Also, you know that the standard

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10. You gathered the following information: Economic Conditions Prob. Return Strong Normal Weak 30% 15 40% -3 30% 10 Also, you know that the standard deviation is 7.84, what is the coefficient of variation? a. 1.24 b. 0.80 c. 1.10 d. 1.50 e. 0.94 Company. XYZ can issue new The following financial information is available on XYz Manufacturing 11. common stock to net the company $44 per share. Determine the cost of internal equity capital using the capital asset pricing model (CAPM) approach. (Compute answer to the nearest 0.1%). Current per share market price Beta Expected rate of return on market Risk-free rate $48.00 1.1 12.0% 6.0% 11.8% 12.9% 18% a. b. d. 12.6% 13.0%

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