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CCC Corp has a beta of 1 . 5 and is currently in equilibrium. The required rate of return on the stock is 1 2

CCC Corp has a beta of 1.5 and is currently in equilibrium. The required rate of return on the stock is 12.00% versus a required return on an average stock of 10.00%. Now the required return on an average stock increases by 45.0%(not percentage points). Neither betas nor the risk-free rate change. What would CCC's new required return be? Do not round your intermediate calculations.
a.
20.81%
b.
18.75%
c.
15.38%
d.
17.63%
e.
21.56%

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