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The cost of equity capital is all of the following except: a . The minimum rate that a firm should earn on the equity -
The cost of equity capital is all of the following except:
a
The minimum rate that a firm should earn on the equityfinanced part of an investment.
b
A return on the equityfinanced portion of an investment that, at worst, leaves the market price of the stock unchanged.
c
By far the most difficult component cost to estimate.
d
Generally lower than the beforetax cost of debt.
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