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QWC Ltd. has cash of $100,000 that will be invested in an equity investment that has a beta of 2.25. The current risk-free rate in

QWC Ltd. has cash of $100,000 that will be invested in an equity investment that hasa beta of 2.25. The current risk-free rate in the market is 2.5%, and the market requires an 8% risk premium for equity securities. What return should QWC Ltd.expect to earn?

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