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The Saguenay Tourism Company has a beta of .80, the risk-free rate is 4 percent, and the market risk premium is 6 percent. The required

The Saguenay Tourism Company has a beta of .80, the risk-free rate is 4 percent, and the market risk premium is 6 percent. The required return on the firm's equity is:

a) 4.0%

b) 5.6%

c) 8.8%

d) 6.0%

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