Cost of equityForums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Cost of equityThis topic has 1 reply, 2 voices, and was last updated 4 years ago by John Moffat.Viewing 2 posts - 1 through 2 (of 2 total) AuthorPosts June 28, 2019 at 5:02 pm #521470 aadil1234MemberTopics: 75Replies: 104☆☆Sir if the Co. has no gearing and is only being funded through equity than will we use Ba instrad of Be in the CAPM formula to calculate cost of equity (ke)? June 29, 2019 at 9:16 am #521510 John MoffatKeymasterTopics: 56Replies: 53850☆☆☆☆☆If there is no gearing then yes, because the equity beta will be equal to the asset beta. It is only gearing that makes the two different.AuthorPostsViewing 2 posts - 1 through 2 (of 2 total)You must be logged in to reply to this topic.Log In Username: Password: Keep me signed in Log In