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A company's beta is 2.2, nisk-free rate is 4 percent, and the market risk premium is o percent Calculate the company's cost of common cquity
A company's beta is 2.2, nisk-free rate is 4 percent, and the market risk premium is o percent Calculate the company's cost of common cquity using the capital asset pricing model (CAPM aparcach. 12.1994 13.30% 12.44% 15.00% None of the above QUESTION 14 1 points Save Answer the required rate of return using CAPM? A firm's bete is 1.50, risk-free rate is 10 percent, and the expected return on the market is 14 percent. What 1694 1294 None of the above 1 points Save Answer QUESTION 15 Afrin's stock is seling fur 34.50 per share. The firm has 500,000 shares outstanding. The total face value of the firm's bonde is $800.000 however the bonds are selling at 84 percent of their face value. Calculate the market values of the firm's equity and debt Market value of culty - $2,250.000; Market value of deb: - $752.000 Market value of equity - $2,250.000; Market value of deb: - $800,000 Market value of equity = $500.000; Market value of debt - $752.000 Market value of equity - $3.002.000; Market value of deb: - $1,000,000 None of the Above 1 points Save Answer QUESTION 16 Please refer to the above problem. Calculate the firms are value DEBT RATIO. 755 25% 5054 18%
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