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 $=5\mathrm{.}60\%$; and b $=1\mathrm{.}30.$ Based on the CAPM approach, what is the cost of equity from retained earnings?

Group of answer choices

$10\mathrm{.}93\%$

$11\mathrm{.}00\%$

$12\mathrm{.}61\%$

$11\mathrm{.}38\%$

$9\mathrm{.}70\%$