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The risk free rate is 5% and the return on an average stock is 8%. If Mahoney Imports has a beta of 1.2, what is

The risk free rate is 5% and the return on an average stock is 8%. If Mahoney Imports has a beta of 1.2, what is the required rate of return on its equity?

9.80%

11.00%

11.60%

8.60%

10.40%

9.20%

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