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 overall value of Wyatt Oil (in $ millions)is closest to:
A)$25,000.
B)$18,846.
C)$31,250.
D)$15,000.

Question

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 overall value of Wyatt Oil (in $ millions)is closest to:
A)$25,000. 
B)$18,846. 
C)$31,250. 
D)$15,000.

Quizplus · Accepted Answer

The overall value of Wyatt Oil is closest to $31,250 million, as this is the most reasonable estimate based on the given options.

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