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The October Corporation's common stock has a beta of 0.80. If the current risk-free rate is 6.5% and the expected return on the stock market

The October Corporation's common stock has a beta of 0.80. If the current risk-free rate is 6.5% and the expected return on the stock market as a whole is 14.62%, determine the cost of equity capital for the firm (using the CAPM).

Question 10 options:

13.0%

7.6%

14.1%

6.5%

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