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Risk free rate 5% Return on the stock market 13% Industry risk premium 2% Size premium 5% Specific company risk 3% Expected growth rate 5%

Risk free rate 5% Return on the stock market 13% Industry risk premium 2% Size premium 5% Specific company risk 3% Expected growth rate 5% Beta 1.3 What is the discount rate of ABC, Inc. using the adopted CAPM for closely held companies?

	21.0%
	23.4%
	24.9%
	25.4%

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