Question
The Dybvig Corporation's common stock has a beta of 1.20. If the risk-free rate is 5.00 percent and the expected return on the market is
The Dybvig Corporation's common stock has a beta of 1.20.
If the risk-free rate is 5.00 percent and the expected return on the market is 9 percent, what is Dybvig's cost of equity capital? (Do not include the percent sign (%). Round your answer to 2 decimal places. (e.g., 32.16))
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Fundamentals Of Corporate Finance
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford
5th Edition
0135811600, 978-0135811603
