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O'Brien Inc. has the following data: risk-free rate =5%, market return =7%, risk-free rate =1%, and stock's beta =0.8. What is the discount rate of

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O'Brien Inc. has the following data: risk-free rate =5%, market return =7%, risk-free rate =1%, and stock's beta =0.8. What is the discount rate of firm's equity based on the CAPM? 13.80% 8.62% 5.80% 9.80%

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