Use the capital asset pricing model (CAPM) to estimate the cost of equity capital for a venture with the following information. You notice historically for each percentage change in the market return, this venture's return has changed by 1.50%. Interest rate on long-term U.S. government securities = 4%. Market risk premium = 7%. Question 4 options: 16.50%. 13%. 10.50%. 14.50%. 7%. 11%.