Business, 28.06.2019 05:20 aliceohern

The cost of equity for a firm
equals the firm’s pre-tax weighted-average cost of capital.
tends to remain static for firms with increasing levels of risk.
none of the options are correct.
increases as the unsystematic risk of the firm increases.
equals the risk-free rate plus the market risk premium.
can be estimated from the capital asset pricing model or the dividend growth model.

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The cost of equity for a firm
equals the firm’s pre-tax weighted-average cost of capital.

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