Question: 2. Do you agree with Meyer's dinner conversation assertions? Estimate a risk-adjusted cost of capital for the two business units and comment on whether Meyer's

2. Do you agree with Meyer's dinner conversation assertions? Estimate a risk-adjusted cost of capital for the two business units and comment on whether Meyer's graph is accurate (case Figure 1). In estimating the cost of capital, please consider WACC estimates based on the comparable companies. How does the choice of a constant versus risk-adjusted hurdle rate affect your evaluation of Chestnut's two divisions

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