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7. Mathison Co. knows that the risk-free rate is currently 2%, the market risk premium is 6.8%, and Mathison's beta is 1.88. Using the capital

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7. Mathison Co. knows that the risk-free rate is currently 2%, the market risk premium is 6.8%, and Mathison's beta is 1.88. Using the capital asset pricing model (CAPM), what is Mathison's cost of common equity? 2

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