The equity cost of capital for "Meenie" is closest to:
A) 4.50%
B) 7.50%
C) 9.30%
D) 9.75%
Answer: B) rMeenie= 3% + 0.75(9% - 3%) = 7.5%
The equity cost of capital for "Meenie" is closest to:
A) 4.50%
B) 7.50%
C) 9.30%
D) 9.75%
Answer: B) rMeenie= 3% + 0.75(9% - 3%) = 7.5%