ABC Stock Has a Beta That Is 20 Percent Higher

question 44

Multiple Choice

ABC stock has a beta that is 20 percent higher than the overall market beta.The risk-free rate is 2.7 percent and the market rate of return is 13.6 percent.What is the cost of equity?

• A)16.27%
• B)15.91%
• C)15.78%
• D)16.32%
• E)16.08%

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Job Change

The process of leaving one employment position to pursue another, which can involve moving to a different company, career field, or professional role.

Job Changes

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Hiring and Firing

The processes of adding new employees to an organization and terminating the employment of existing workers, respectively.

Employee Motivation

The level of energy, commitment, and creativity that a company's workers bring to their jobs.