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Home / Questions / A company has retained earnings of Rs.72 lakhs and equity capital of Rs.38 lakhs. If the e

A company has retained earnings of Rs.72 lakhs and equity capital of Rs.38 lakhs. If the e

A company has retained earnings of Rs.72 lakhs and equity capital of Rs.38 lakhs. If the equity investors expect a rate of return of 17% and the cost of issuing fresh equity is 6%, the cost of the retained earnings to the company is


[A]16.4%
[B]17.0%
[C]17.7%
[D]18.1%

Dec 28 2017 View more View Less

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