Question
The beta of Phillips Equipment is 1.2. Market risk premium is 7% and the risk free rate is 3%. What is the cost of equity
The beta of Phillips Equipment is 1.2. Market risk premium is 7% and the risk free rate is 3%. What is the cost of equity for Phillips Equipment? Calculate using CAPM (capital asset pricing model) (round your answer to two decimal places).
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
