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You are in the process of calculating the NPV of a project with a 10-year horizon. When estimating the cost of equity, which of the
You are in the process of calculating the NPV of a project with a 10-year horizon. When estimating the cost of equity, which of the following would you use for the risk-free rate (RF) and the market risk premium (MRP): MRP: E(RM-RF) Estimation period RF = 3m T.Bills RF = 10Y T.Bonds 1972-2022 8.04% 5.47% 2012-2022 16.47% 14.39% RF: Risk-free rate Current 2.00% 4.00%
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