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Business, 26.06.2020 22:01 Ezekielcassese

Assume Russo's has a debt-equity ratio of .4 and uses the capital asset pricing model to determine its cost of equity. As a result, the company's cost of equity: Multiple Choice would be unaffected if the dividend discount model were applied instead. is affected by the firm's rate of growth projections. is dependent upon a reliable estimate of the market risk premium. will be unaffected by changes in overall market risks. implies that the firm pays out all of its earnings to its shareholders.

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