Overview: Production and Cost II - MIT OpenCourseWare
Overview: Production and Cost II • Opportunity Costs in Practice ... (from Yahoo Finance – spring 2001) 2. Calculate Cost of Equity with CAPM r (1*) e = rf + β equity ( r m − rf) + Risk 5 .16% ( ) free rate Risk rel. to market Market risk premium 1 . 14 6 % = 12 . 0 % Calculating Delta’s cost of capital (cont.) 3. Calculate Cost of Debt ................
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