subject
Business, 18.12.2019 05:31 sophie5988

Trendsetters has a cost of equity of 14.6 percent. the market risk premium is 8.4 percent and the risk-free rate is 3.9 percent. the company is acquiring a competitor, which will increase the company's beta to 1.4. what effect, if any, will the acquisition have on the firm's cost of equity capital? a. no effect decrease of .62 percent b. decrease of .84 percent c. increase of 1.06 percent d. increase of .13 percent

ansver
Answers: 1

Another question on Business

question
Business, 21.06.2019 13:30
The budgeted overhead cost for the year is $1,260,000. the company has estimated that one-third of the budgeted overhead cost is incurred to support the firm's two partners, and two-thirds goes to support the staff accountants. the current audit bid for monoco industries requires $18,000 in direct partner professional labor, $30,000 in direct staff accountant professional labor, $5,000 in direct material. what is the overhead rate based on a single cost driver (rounded to the nearest percentage)?
Answers: 3
question
Business, 21.06.2019 16:00
Jelly has joined drakes team drake sends kelly an email explaining details of the project that she will be working on which of these is good etiquette
Answers: 3
question
Business, 22.06.2019 02:00
What is an example of a good stock to buy in a recession? a) cyclical stock b) defensive stock c) income stock d) bond
Answers: 1
question
Business, 22.06.2019 15:20
Abank has $132,000 in excess reserves and the required reserve ratio is 11 percent. this means the bank could have in checkable deposit liabilities and in (total) reserves.
Answers: 3
You know the right answer?
Trendsetters has a cost of equity of 14.6 percent. the market risk premium is 8.4 percent and the ri...
Questions
question
Biology, 09.08.2019 22:20
Questions on the website: 13722363