question archive Rudolph's Transportation has an overall cost of equity of 14
Rudolph's Transportation has an overall cost of equity of 14
Subject:FinancePrice: Bought3
Rudolph's Transportation has an overall cost of equity of 14.8 % and
a beta of 1.4. The firm is financed solely with common stock. The risk-free rate of return is 3.5 %. What is an appropriate cost of capital for a division within the firm that has an estimated beta of 1.3?
