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Assume that a company has a beta of 1.09 and the risk-free rate is 5%. If the market risk premium is 10% calculate cost of

Assume that a company has a beta of 1.09 and the risk-free rate is 5%. If the market risk premium is 10% calculate cost of equity capital, using the capital asset pricing model: Select one:

a. 16.4%

b. 15.9%

c. 15.0%

d. 10.5%

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