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Historically, Baker projects have had an average beta of 1.3, which indicates the higher risk levels for the firm. Assuming the market risk premium (MRP)
Historically, Baker projects have had an average beta of 1.3, which indicates the higher risk levels for the firm. Assuming the market risk premium (MRP) currently estimated to be 5.5% and the risk-free rate is 5.25%, what is the required return for an "average" Baker project using based on its average project beta? Show the average required return to 2 decimal places (x.xx%)
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