Use the Table for the Question(s)below

question 38

Multiple Choice

Use the table for the question(s) below.
Capital Structure and Unlevered Beta Estimates for Comparable Firms
-If the risk-free rate of interest is 6% and the market risk premium has historically averaged 5%,then the cost of capital for Nike is closest to:

• A)14.7%.
• B)10.2%.
• C)9.1%.
• D)13.5%.

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Definitions:

Four-Fifths Rule

A guideline used in the United States to assess discrimination in employment practices, indicating potential bias if a selection rate for any race, sex, or ethnic group is less than four-fifths (80%) of the rate for the group with the highest selection rate.

Discriminatory Content

Material or expressions that unfairly differentiate or prejudice against individuals or groups based on characteristics such as race, gender, age, or religion.

Valuing Diversity

Recognizing, respecting, and leveraging differences in the workforce, such as cultural backgrounds, perspectives, and skills, to foster an inclusive and productive environment.

Safety Concerns

Issues or conditions in a workplace that could potentially cause injury or harm to employees, necessitating preventive measures and compliance with safety regulations.