JPL Technologies was established in 1924 in the early years of the avionics industry. With a long history of consistent growth and dividends payments, the company is contemplating a move into the Artificial Intelligence (AI) applications for the commercial and airline industry. The move would require the company to reduce dividends and increase reinvestment in the company. The change would also likely increase risk but also return on equity capital for investors. The board of directors has retained an Investment Bank to help determine to efficacy of the strategy change. The Investment Bank has recommended that the change in strategy be adopted. Their primary rational is that the new approach will increase earnings. The CFO of the company has asked the Corporate Finance team to review the data obtained by the Bank and verify the recommendation. The Bank sent the following data below, use this data to determine if the recommendation of the Bank is correct.

Particulars	Current Company Position	Forecasted Company Position
US Treasury Risk Free Rate	1.5%	1.5%
Est. Market Return, Volatility	11.0%, 17%	11.0%,17%
Volatility (Standard Deviation)	15%	25%
Correlation Coefficient (r Rho)	.50	.70
Dividend Payout Ratio	.60	.20
Current Earnings per Share	$2.60

SPECIFIC OUTPUT REQUIREMENTS: PAGE 1 - CAPM: Using the data from the table above, construct a table with the variables used in the CAPM model to compute the Required Cost of Equity for JPL under both scenarios.