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Baba Tech is a pure play in the online retailing industry. It has a leverage ratio (D/V) of 20%, and a cost of equity of

Baba Tech is a pure play in the online retailing industry. It has a leverage ratio (D/V) of 20%, and a cost of equity of 12%. What is the business risk of the online retailing industry? (cost of debt is 5%, corporate tax is 20%) A. 10.83%. B. 11.67%. C. 12%. D. 12.5%

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