The author estimates that in January of 2012, Home Depot had a require
The author estimates that in January of 2012, Home Depot had a required return on equity of 6.8%. He explains this relatively ________ rate as a reflection of ________.
A) low; near all-time low long-term interest rates.
B) low; Home Depot’s very low beta.
C) high; near all-time high long-term interest rates.
D) high; Home Depot’s very high beta.
ANSWER
A
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