Page 106 - AFM Integrated Workbook STUDENT S18-J19
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Chapter 6
Overview
Asset betas
CAPM and equity
betas
Cost of M&M’s
DVM
equity k e Proposition 2
Use of
WACC as a
WACC
discount
rate
Cost of debt k d(1–t)
Used to
IRR method Yield k d calculate
bond duration
Credit spread
method
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