Multiple Choice
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?
A) 13.5%
B) 14.5%
C) 13.9%
D) 14.8%
E) 15.1%
Correct Answer:
Verified
Correct Answer:
Verified
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