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Jupiter Co 12/08

Tthegoal2410y ago
Hi Sir, Would I still get marks if I calculated theexpected cost of equity using the dividend growth model in part b) of the question? i got 8.22% as my answer
John MoffatJohn MoffatTutor10y ago#1
You would not lose all of the marks, but since you were given the beta you should have used it to calculate the cost of equity.
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