Use the Following Information to Answer the Question(s)below

question 13

Multiple Choice

Use the following information to answer the question(s) below. The risk-free rate of interest is 3% and the market risk premium is 5%.
-The value of the oil exploration division is closest to:

• A)$4500
• B)$7500
• C)$8750
• D)$10,000

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Definitions:

Carotid Baroreceptors

Sensory receptors located in the carotid arteries that detect changes in blood pressure and help regulate cardiovascular function.

Glossopharyngeal Nerve

The ninth cranial nerve, which carries sensory and motor information to the pharynx, tongue, and other areas, playing a role in swallowing and taste.

Sympathetic Nerve

Part of the autonomic nervous system that prepares the body for fight or flight response, regulating heart rate, blood pressure, and energy mobilization.

Glossopharyngeal Nerve

The ninth cranial nerve, responsible for taste and sensory functions in the tongue and throat, as well as stimulating salivary gland secretion.