A) other company capital policy
B) other company beta
C) other company cost
D) other division cost
✅ ANSWER: B
In pure play method, a company can calculate its own cost of capital with help of averaging an other company beta. Pure play method is an approach used to estimate beta coefficient of a company whose stock is not publicly traded.
In pure play method, a company can calculate its own cost of capital with help of averaging an other company beta. Pure play method is an approach used to estimate beta coefficient of a company whose stock is not publicly traded.