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Posts: 169
2 weeks ago
Your estimate of the market risk premium is 6%.  The risk-free rate of return is 5% and General Motors has a beta of 1.2.  What is General Motors' cost of equity capital?

▸ 11.8%

▸ 12.9%

▸ 12.2%

▸ 11.4%
Textbook 
Fundamentals of Corporate Finance
Edition: 2nd
Authors:
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Posts: 248
2 weeks ago
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12.2%
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2 weeks ago
Helps a lot... Now I'm ready for my quiz
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