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%.

---

Definitions:

Pluralism

A condition or system in which two or more states, groups, principles, sources of authority, etc., coexist.

High-context

A communication style where much of the information is understood through context, non-verbal cues, and between-the-lines reading, rather than explicit words.

Generation Z

Refers to the demographic cohort following Millennials, typically born between the mid-1990s to early 2010s, known for their familiarity with the Internet and digital technologies.

Business Communication

The process of sharing information between people within and outside an organization to achieve business objectives.