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You open a small clothing store using your own funds to source equity capital. You are trying to estimate an appropriate cost of capital and
You open a small clothing store using your own funds to source equity capital. You are trying to estimate an appropriate cost of capital and find the following information: 2.5% A. 1 year T-bond: B. Mortgage Rates: C. S&P 500 E[ret): D. Retail Industry Etret) 5.0% 9.5% 13.0% Which is the best range estimate for you business's cost of capital? O 8.0% - 11.0% 03.0% -6.0% 0.13% -16% 10% - 13%
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