What is the cost of capital of this company

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Question - Suppose that a company records a Beta risk of 0.80 and that the T-Bills risk-free rate is 3.0%. Also, suppose the market asset rate is 9.5%. What is the cost of capital (Equity) of this company?

a. 7.2%

b. 9.1%

c. 8.15%

d. None of the above

Reference no: EM133044633

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