For an unlevered firm,the cost of capital of the firm can be determined by using the

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The cost of capital of an unlevered firm can be determined by using the Capital Asset Pricing Model (CAPM). This model considers the risk-free rate, the market risk premium, and the beta of the firm to determine its cost of equity, which is a key component of the overall cost of capital. The other options listed, such as the yield on traded debt, dividend yield, or preferred stock yield, are not necessarily directly relevant for determining the cost of capital of an unlevered firm.

For an Unlevered Firm,the Cost of Capital of the Firm