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McNellies has the following data: risk free rate = 2.75%; market return= 12%; and beta 1.3. What is the firm's cost of equity based on

McNellies has the following data: risk free rate = 2.75%; market return= 12%; and beta 1.3. What is the firm's cost of equity based on the CAPM?

14.78%

12.03%

9.25%

18.35%

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