show your work and formulas and answer the following exercise questions.

Question 8. As a financial analyst for a corporation, you have been given the responsibility to compute the firm's cost of equity from retained earnings based on the CAPM approach. You estimate that the beta for the company's stock is 1.2 and the risk-free and market rates of return are 4% and 13%, respectively. The appropriate cost of equity is ______%.

Question 9. You sold one corn future contract at $2.29 per bushel. What would be your profit (loss) at maturity if the corn spot price at that time were $2.10 per bushel? Assume the contract size is 5,000 ounces and there are no transactions costs.

Question 10. The current market price of a share of AT&T stock is $50. If a put option on this stock has a strike price of $45, the put