Business
Business, 17.07.2019 00:20, Maria3737

Iam buying a firm with an expected perpetual cash flow of $1,450 but am unsure of its risk. if i think the beta of the firm is 0, when the beta is really 1, how much more will i offer for the firm than it is truly worth? assume the risk-free rate is 5% and the expected rate of return on the market is 20%. (input the amount as a positive value.)

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Iam buying a firm with an expected perpetual cash flow of $1,450 but am unsure of its risk. if i thi...

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