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Cost of common stock equity CAPM J&M Corporation common stock has a? beta, b ?, of 1.7. The? risk-free rate is 3 %, and the

Cost of common stock equityCAPM J&M Corporation common stock has a? beta, b?, of 1.7. The? risk-free rate is 3 %, and the market return is 6?%.

a.??Determine the risk premium on? J&M common stock.

b.??Determine the required return that? J&M common stock should provide.

c.??Determine? J&M's cost of common stock equity using the CAPM.

a.??The risk premium on? J&M common stock is ?%? ?(Round to one decimal? place)

b.??The required return that? J&M common stock should provide is %? ?(Round to one decimal? place)

c. ? J&M's cost of common stock equity using the CAPM is %? (Round to one decimal? place)

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