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Cost of capital: After you obtain an estimate of the COSTCO's Beta from a financial website, estimate the company's cost of equity using the Capital
Cost of capital: After you obtain an estimate of the COSTCO's Beta from a financial website, estimate the company's cost of equity using the Capital Asset Pricing Model (CAPM). For the risk-free rate, use the current 10-year U.S. Treasury bond yield. For the market risk premium, use 6 percent.
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