Capital budgeting – Session/Class 4
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Capital budgeting – Session/Class 4
Dear Sir,
Thank you for your well-taught sessions. I enjoy them.
Please I noticed that in session 4 while solving the part a of the question, while calculating the cost of equity (Ke), you obtained 15.084%.
My question is why did you use 3+ (2.014*6) rather than using the full formula to give 3 + 2.014 (6-3)= 9.042%Your response will be highly appreciated.
Best regards
Precious Ezealigo
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