Question
The management of Quills and Ink want to calculate the required rate of return (ROR) of the company. The following information is available: Risk free
The management of Quills and Ink want to calculate the required rate of return (ROR) of the company. The following information is available:
Risk free rate 5.30%
Equity risk premium 4.24%
Firm size premium 2.16%
Industry risk premium 6.50%
Specific company risk premium 3.00%
Calculate the ROR of Quills and Ink.
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Fundamental Financial Accounting Concepts
Authors: Thomas Edmonds
7th Edition
73527122, 978-0073527123
