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Author Question: Business risk refers to A) the variability of a firm's stock price. B) the variability of a ... (Read 103 times)

eruditmonkey@yahoo.com

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on: Jul 10, 2018
Business risk refers to
 
  A) the variability of a firm's stock price.
  B) the variability of a firm's expected earnings before interest and taxes.
  C) the risk associated with financing a firm with debt.
  D) the uncertainty associated with a firm's CAPM.

Question 2

Jiffy Co expects to pay a dividend of 3.00 per share in one year. The current price of Jiffy common
  stock is 60 per share. Flotation costs are 3.00 per share when Jiffy issues new stock.
 
  What is the
  cost of internal common equity (retained earnings) if the long-term growth in dividends is
  projected to be 8 percent indefinitely?
  A) 16 percent B) 14 percent C) 15 percent D) 13 percent


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connor417

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Reply #1 on: Jul 10, 2018
Answer to Question 1

B

Answer to Question 2

D


eruditmonkey@yahoo.com

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Reply 2 on: Jul 10, 2018
Excellent

vickybb89

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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