Sheridan Industries common stock has a beta of 1.2. If the market risk-free rate is 5.2 percent and the expected return on the market is 8.2 percent, what is Sheridans cost of common stock?

I solved this problem incorrectly by doing

K_es=R_rf+(Beta_esx market risk premium)

K_es=0.052+(1.2x0.082)

K_es=0.052+0.098400

K_es=0.1504=15.0%

I'm not sure what I am doing wrong. Please show full calculation.

X Your answer is incorrect. Sheridan Industries common stock has a beta of 1.2. If the market risk-free rate is 5.2 percent and the expected return on the market is 8.2 percent, what is Sheridan's cost of common stock? (Round answer to 1 decimal places, e.g. 15.2%.) Cost of common stock 15.0