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A company has a beta of 1.3 and is trying to calculate its cost of equity capital using CAPM. If the risk-free rate is 5%

A company has a beta of 1.3 and is trying to calculate its cost of equity capital using CAPM. If the risk-free rate is 5% and the market risk premium is 9%, what is the firm's cost of equity capital? Please solve and show how to solve step by step.

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