Answer:
when p = $9.50, Q = 0.25units
when p = $6.50, Q = 4.25units
Explanation:
The detailed step is shown in the attachment
Brian is seeking after an external growth strategy. These strategies develop real organization size and resource worth. Outside techniques concentrate on key mergers or acquisitions, expanding the quantity of shared connections through outsiders, and may even incorporate diversifying the plan of action.
Answer:
correct option is a. 14.1%
Explanation:
given data
beta = 0.80
current risk-free rate = 6.5%
expected return = 16%
solution
we get here cost of equity capital that is express as
cost of equity capital = current risk-free rate + beta ( expected return - current risk-free rate ) ...........................1
put here value ans we will get cost of equity capital
cost of equity capital = 6.5% + 0.8 (16% - 6.5% )
solve it we get
cost of equity capital = 14.1%
so correct option is a. 14.1%