Business
Business, 13.12.2019 05:31, wisal96

All else constant, which one of the following will increase a company's cost of equity if the company computes that cost using the security market line approach? assume the firm currently pays an annual dividend of $1 a share and has a beta of 1.2.
a. a reduction in the dividend amount
b. an increase in the dividend amount
c. a reduction in the market rate of return
d. a reduction in the risk free rate
d. a reduction in the firms beta

answer
Answers: 1

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All else constant, which one of the following will increase a company's cost of equity if the compan...

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