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    Practical Financial Management Study Set 1
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    Exam 13: Cost of Capital
  5. Question
    The CAPM's Estimate of the Component Cost of Common Equity
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The CAPM's Estimate of the Component Cost of Common Equity

Question 125

Question 125

Multiple Choice

The CAPM's estimate of the component cost of common equity would be increased by an increase in:


A) the risk-free interest rate.
B) a firm's beta.
C) the return on the market.
D) b and c
E) All of the above

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