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In mid-2015, Qualcomm Inc. had
$11
billion in debt, total equity capitalization of
$91
billion, and an equity beta of
1.46
(as reported on Yahoo! Finance). Included in Qualcomm's assets was
$25
billion in cash and risk-free securities. Assume that the risk-free rate of interest is
3.1%
and the market risk premium is
4.1%.
a. What is Qualcomm's enterprise value?
b. What is the beta of Qualcomm's business assets?
c. What is Qualcomm's WACC?
a. What is Qualcomm's enterprise value?
Qualcomm's enterprise value is
$nothing
billion.(Round to the nearest whole number.)
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