FIRST PAPER
The capital asset pricing model (CAPM) relates the risk return trade-off of individual assets to market returns so that a security has a risk-free rate of return and a premium for risk.
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Explain in detail the components of CAPM.
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Be sure to include the formula and an explanation of beta.
2 pages
SECOND PAPER
Explain cost of capital in terms of the financing costs to the corporations. Include a detailed explanation of the following:
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Cost of debt
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Cost of preferred stock
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Cost of common stock
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Cost of retained earnings
all references and it has to be in APA format