Scanlon Inc.$\text{'}$s CFO hired you as a consultant to help her estimate the cost of capital. You have been provided with the following data: rRF $=4\mathrm{.}10\%$; RPM $=5\mathrm{.}00\%$; and b $=0\mathrm{.}60.$ Based on the CAPM approach, what is the cost of equity from retained earnings?

a$.9\mathrm{.}70\%$

b$.9\mathrm{.}10\%$

c$.7\mathrm{.}10\%$

d$.7\mathrm{.}46\%$

e$.5\mathrm{.}46\%$