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Peloton Corporation common stock has a beta, of 1.4. The risk-free rate is 7%, and the market return is 12%. a.Determine the risk premium on

Peloton Corporation common stock has a beta, of 1.4. The risk-free rate is 7%, and the market return is 12%.

a.Determine the risk premium on Peloton common stock.

b.Determine the required return that Peloton common stock should provide.

c.Determine Peloton's cost of common stock equity using the CAPM.

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