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Speedshop Corporations common stock has a beta of 1.2, the current risk-free rate of return is 3%, and the expected rate of return for the

  1. Speedshop Corporations common stock has a beta of 1.2, the current risk-free rate of return is 3%, and the expected rate of return for the stock market is 8%. Using the Capital Asset Pricing Model (CAPM) approach, what is the companys current cost of equity?

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