What will the new cost of retained earnings be

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Question 1: The US government T-bill has a yield of 0.04, the Wilshire 5000 is expected to yield 0.09, and a stock's beta is 1.2. If inflation is expected to increase by 0.03 next year, but everything else remains the same, what will the new cost of retained earnings be?

Reference no: EM132535046

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