Cost of Equity

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May 26, 2017 at 8:21 am #388168
lusan
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DSP CO has an equity beta of 0.9 and asset beta of 0.4 and risk free rate is 4% and market premium is 11%.
Calculate cost of equity?
May 26, 2017 at 10:14 am #388241
John Moffat
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No. Please do not set test questions and expect an answer.

Say what your problem is with the printed answer that you have, and then I will help you.

You cannot be watching my free lectures. Otherwise you would know that it is the equity beta then determines the cost of equity.
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