Suppose that the British stock market is segmented from the rest of the world. Using the CAPM and a risk-free rate of 5%, estimate the equity cost of capital for Stansfield.
A)14%
B)12%
C)9%
D)None of the above

Question

Suppose that the British stock market is segmented from the rest of the world. Using the CAPM and a risk-free rate of 5%, estimate the equity cost of capital for Stansfield. 
A)14% 
B)12% 
C)9% 
D)None of the above

Quizplus · Accepted Answer

The Answer of Suppose that the British stock market is segmented from the rest of the world. Using the CAPM and a risk-free rate of 5%, estimate the equity cost of capital for Stansfield. 
A)14% 
B)12% 
C)9% 
D)None of the above

Suppose That the British Stock Market Is Segmented from the Rest