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fast please urgent 9. BOLTON Company has the following investment projects by weights as presented The risk-free rate is 5%, and the market risk premium
fast please urgent
9. BOLTON Company has the following investment projects by weights as presented The risk-free rate is 5%, and the market risk premium is % The firm is 100% sy fea (10 points) 3/10 in IT Software with 8-1.8 5/10 in Computer Hard Drive Manufacturer with 8-12 2/10 in Electric Utility with 8-0.4 a Calculate the beta of the Bolton Company. (3 points) b. Calculate the cost of capital of the Bolton Company using CAPM. (3 points) c. The Company is considering investing in a new Computer Manufacturing project with and IRR of 14.65% Should BOLTON Company accept or reject the project? Why? (4 points) Step by Step Solution
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