Which of the following is false regarding the estimate of a


Which of the following is false regarding the estimate of a firms cost of equity capital

A) there are models that will provide reasonable estimates

B) the firms cost of debt can be calculated with greater precision than the cost of EQ

C) the cost of equity is = to the weighted average cost of capital

D) the cost of equity depends on the systematic risk of the firm’s equity

E) there is no way to directly observe the return required by the firm’s equity investors.

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Financial Management: Which of the following is false regarding the estimate of a
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