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Olson Corporation has a beta coefficient of 1.5 at a debt/assets ratio equal to 40 percent. The risk-free rate of return, FRF, is 5 percent

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Olson Corporation has a beta coefficient of 1.5 at a debt/assets ratio equal to 40 percent. The risk-free rate of return, FRF, is 5 percent and the market return, M. is 9 percent. Based on the capital asset pricing model (CAPM), what is Olson's required rate of return on its common equity? O a. 6.0% t. 13.5% c. 11.0% d. 15.0% O. 18.5%

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