Multiple Choice
In the capital assets pricing model, the cost of equity is investors' required return and includes
1) the expected return on the market
2) the firm's beta
3) the firm's tax rate
A) 1 and 2
B) 1 and 3
C) 2 and 3
D) 1, 2, and 3
Correct Answer:

Verified
Correct Answer:
Verified
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