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Question 4: Using the Capital Asset Pricing Model , what is the Cost of Equity Capital for the Bauxite Division? [1] [1] Goldman Sachs currently

Question 4: Using the Capital Asset Pricing Model, what is the Cost of Equity Capital for the Bauxite Division?^[1]

^[1] Goldman Sachs currently recommends an EMRP of 5%. The Risk Free Rate is 3.8%. The Cost of Debt is the Risk Free Rate plus the Credit Spread.

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