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The common stock has a beta of 1.2. The risk-free rate is 5 percent and the expected return on the market (Rm) is 11 percent.

The common stock has a beta of 1.2. The risk-free rate is 5 percent and the expected return on the market (Rm) is 11 percent.

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What is the companys cost of equity capital? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

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