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(b) Cost of equity can be estimated using both capital assets pricing (CAPM) and dividend valuation models (DVM). Discuss the advantages and drawbacks of the

(b) Cost of equity can be estimated using both capital assets pricing (CAPM) and dividend valuation models (DVM). Discuss the advantages and drawbacks of the two approaches. (c) Why do you think the estimates using CAPM and DVM are different?

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