The capital asset pricing model is used

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Reference no: EM131377261

The capital asset pricing model (CAPM) is used

a. to determine the interest rate for a firm’s long-term debt.

b. to compute the profit-maximizing rate of output Q* in a perfectly competitive market.

c. to evaluate pricing strategies when a firm confronts distinct market segments.

d. to quantify risk as is relates to the determination of the cost of equity capital.

Reference no: EM131377261

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