Question
Which of the following model/ method makes use of Beta
(β) in the calculation of the cost of equity?Solution
The Capital Assets Pricing Model (CAPM) makes use of Beta (β) in the calculation of the cost of equity. The CAPM is a widely used financial model that helps to estimate the expected return on an investment based on its level of risk. It uses the beta coefficient, which measures the sensitivity of an asset's returns to market returns, to calculate the cost of equity capital.
The income of person P is 20% higher than that of person Q. If Q spends 82% of his income, which amounts to ₹14,760, determine ...
In 2023, Department D overspent by 10% of its allocated budget. What is the total expenditure of Department D after the overspending?
Maximize Z = 3x + 5y
Subject to:
x – y ≥ 2
x + y ≥ 4
x, y ≥ 0
What can be concluded about the feasible region?
(76.98% of 599.98) ÷ 20.99 = ? + 7.98% of 199.99
A tap of type '5P' can completely fill a tank in 'P/2' hours, whereas a tap of type '2Q' can fill the same tank in '4Q/5' hours.<...
A boat can cover 70 km in still water and 72 km in downstream in 4 hours and 3 hours respectively. Find the time taken by the boat to cover 66 km upstre...
Which Is the layer of a computer system between the hardware and the user program
What is the remainder when 26×28×32 is divided by 25?
Let a point P(at² , 2at)lie on parabola y² = 4ax. The line joining P and focus intersects the directrix at M. If t=2, then the coordinates of M are:...