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Ewing Family Drilling Company has a beta of 1.5 and is trying to calculate its cost of equity capital. If the risk-free rate of return

Ewing Family Drilling Company has a beta of 1.5 and is trying to calculate its cost of equity capital. If the risk-free rate of return is 2 percent and the market risk premium is 12 percent, then what is the firm's cost of equity capital if the firms marginal tax rate is 30%?

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