Dakota, an analyst at Grotesque Analytics (GA), models the stock of the company. Suppose that the risk-free rate rRF = 5%, the required market return rM = 11%, the risk premium for small stocks rSMB = 3.2%, and the risk premium for value stocks rHML = 4.8%. Suppose also that Dakota ran the regression for Grotesque Analyticss stock and estimated the following regression coefficients: aGA = 0.00, bGA = 0.7, cGA = 1.2, and dGA = 0.7. If Dakota uses a Fama-French three-factor model, then which of the following values correctly reflects the stocks required return?

8.00%

19.64%

11.40%

16.40%