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Jalisco, Inc. is estimating its cost of equity capital. Jalisco has a beta of 1.5 when the market risk premium is 8% and the risk-free

Jalisco, Inc. is estimating its cost of equity capital. Jalisco has a beta of 1.5 when the market risk premium is 8% and the risk-free rate is 3.5%. What is Jalisco's cost of equity capital?

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