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Hernando G. Hernando G.
wrote...
Posts: 440
4 years ago
Your estimate of the market risk premium is 7%.  The risk-free rate of return is 4% and General Motors has a beta of 1.5.  What is General Motors' cost of equity capital?

▸ 13.9%

▸ 14.8%

▸ 14.5%

▸ 13.5%
Textbook 
Fundamentals of Corporate Finance

Fundamentals of Corporate Finance


Edition: 2nd
Authors:
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dnlee1dnlee1
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Posts: 357
4 years ago
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Hernando G. Author
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4 years ago
Smart ... Thanks!
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This calls for a celebration Person Raising Both Hands in Celebration
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Thanks for your help!!
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