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Suppose that the risk-free rate is 5% and that the expected return on the market is 10%. What is Mercks cost of equity? Assuming Mercks

Suppose that the risk-free rate is 5% and that the expected return on the market is 10%. What is Mercks cost of equity? Assuming Mercks capital structure is virtually 100% equity, what is WACC? Please show the step by step calculation to arrive at this answer.

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