Pollo Inc.'s 4.38% bonds have a YTM of 4.86%. The estimated risk premium between the company's...
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Pollo Inc.'s 4.38% bonds have a YTM of 4.86%. The estimated risk premium between the company's bonds and stocks is 7%. Pollo's cost of common equity, RE, is %. Margin of error for correct responses: +/- .03(%) Rounding and Formatting instructions: Do not enter dollar signs, percent signs, commas, X, or any words in your response. Do not round any intermediate work, but round your *final* response to 2 decimal places (example: if your answer is 12.3456, 12.3456%, or $12.3456, you should enter 12.35). Pollo Inc.'s 4.38% bonds have a YTM of 4.86%. The estimated risk premium between the company's bonds and stocks is 7%. Pollo's cost of common equity, RE, is %. Margin of error for correct responses: +/- .03(%) Rounding and Formatting instructions: Do not enter dollar signs, percent signs, commas, X, or any words in your response. Do not round any intermediate work, but round your *final* response to 2 decimal places (example: if your answer is 12.3456, 12.3456%, or $12.3456, you should enter 12.35).
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