Fundamentals of Corporate Finance (4th Edition) (Berk, DeMarzo & Harford, The Corporate Finance Series)
Fundamentals of Corporate Finance (4th Edition) (Berk, DeMarzo & Harford, The Corporate Finance Series)
4th Edition
ISBN: 9780134475561
Author: Jonathan Berk, Peter DeMarzo, Jarrad Harford
Publisher: PEARSON
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Chapter 13, Problem 7DC
Summary Introduction

Cost of equity by CAPM:

To calculate the cost of equity from CAPM, the risk-free rate, beta, and market risk premium is required. Beta and market risk premium are difficult to find. Moreover, they are based on certain assumptions.

To determine:

The cost of equity capital of DIS using the CAPM.

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Fundamentals of Corporate Finance (4th Edition) (Berk, DeMarzo & Harford, The Corporate Finance Series)

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What is WACC-Weighted average cost of capital; Author: Learn to invest;https://www.youtube.com/watch?v=0inqw9cCJnM;License: Standard YouTube License, CC-BY