Discussion Question
Requirement: There is no way to directly observe the cost of equity as a component of the weighted average cost of capital. Discuss two methods that may be used to estimate the cost of equity.
Instructions: Your initial response should be no less than 350-words with at least one scholarly journal reference (dictionary-type websites are excluded)**. Respond to at least two of your classmates with a minimum of 150 words and include direct questions. Include in-text citations and references in APA format. Refer to Forums Grading Rubric for additional guidelines.
Make sure you are using credible sources in your discussions and assignments. Scholarly journals are the preferred source of credible/quality references. These consist of peer-reviewed articles published in academic journals related to the field, which are found via our Library. Websites such as Investopedia, ask.com, answers.com, or dictionary-type of websites limit the insight to the topics. Wikipedia is not acceptable as it is not a reliable, credible source of reference. The purpose is to bring in new information and how does it apply to our topic from a real-world perspective, instead of extending on definitions that are found in the book.