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Use the Capital Asset Pricing model and the data below to calculate the cost of equity for Olive Company: Risk-Free Rate: 3% Market Risk: 9%

Use the Capital Asset Pricing model and the data below to calculate the cost of equity for Olive Company:

Risk-Free Rate: 3%

Market Risk: 9% (This is not market risk premium)

Beta of Olive Company: 0.8

Submit your answer as a percent value. Round to one decimal point.

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