The estimated risk premium between company debt and equity

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Panem Corp.'s most recent bond issue has a coupon rate of 4.46% and is currently priced at par. The estimated risk premium between the company's debt and equity is 3.78%. The estimated cost of equity, Re, for Panem Corp. is %. Do not round intermediate work, but round your 'final' answer to 2 decimal places (example: if your answer is 12.34567%, you should enter 12.35).

Reference no: EM131317052

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The estimated risk premium between company debt and equity : Panem Corp.'s most recent bond issue has a coupon rate of 4.46% and is currently priced at par. The estimated risk premium between the company's debt and equity is 3.78%. The estimated cost of equity, Re, for Panem Corp. is %.

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