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- 2011-7-11
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- 2013-8-23
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In the bottom of printed page 107 in the corporate finance book, they give the equation for finding the cost of equity as :
Re = Ro + (Ro-Rd)(1-T)(D/E)
when I think it should be:
Re = Ro + (Ro-Rd(1-T))(D/E)
Is this correct? |
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