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How is price determined for a security

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Define the role of a capital market both from a firm's and from an investor's perspective. How is price determined for a security?

Define "cost of capital." What does a firm's cost of capital represent?

What is the equation for the CAPM and how does it relate to a firm's cost of capital?

A firm's overall cost of capital is computed as the Weighted Average Cost of Capital. How is this computed and what does it represent?

Reference no: EM131657368

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