In reading 30, EOC #41, why do we use 8% as the required rate of return?
Did you check the errata?
According to the errata:
Reading 30: In the text below Exhibit 5 (p. 228 of print), the Period 11 dividend is €0.9943 (= D10 × 1.05 = €0.9469 × 1.05). In the information for Practice Problems 37-46 (p. 261 of print), the required rate of return for Venus Company is 8%.
I knew that.
The point was for cffong91 to look it up.
Oh I knew you knew that… I thought he didnt know what errata was!
. . . what errata were.