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Obi-Wans common stock has a beta of 1.4. If the risk-free rate is 3 percent and the market risk premium is 15 percent, what is
Obi-Wans common stock has a beta of 1.4. If the risk-free rate is 3 percent and the market risk premium is 15 percent, what is Obi-Wans cost of equity?
a. 16.80%.
b. 19.80%.
c. 21.00%.
d. 24.00%.
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