Tribbles-R-Us has 200,000 shares outstanding and just paid a $0.25 per share dividend. The market risk-premium is 8.50 percent and the risk-free rate is 4.00 percent. What is the company's cost of equity if Tribbles' systematic risk is 30.00% larger than the market portfolio? Enter your answer as a percent rounded to two decimals, but don't include % sign. Numeric Response

Tribbles-R-Us has 200,000 shares outstanding and just paid a $0.25 per share dividend. The market risk-premium is 8.50 percent and the risk-free rate is 4.00 percent. What is the company's cost of equity if Tribbles' systematic risk is 30.00% larger than the market portfolio? Enter your answer as a percent rounded to two decimals, but don't include % sign. Numeric Response

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter26: Mergers And Corporate Control

Section: Chapter Questions

Problem 7MC

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