The expected return on market-cost of equity capital

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The Up and Coming Corporation's common stock has a beta of 1. If the risk-free rate is 4 percent and the expected return on the market is 12 percent, what is the company's cost of equity capital? (Do not round your intermediate calculations.)

a )11.4%

b) 12.6%

c) 16%

d) 12.48%

e) 12%

Reference no: EM131575656

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