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Find the cost of equity from retained earnings

Scanlon Inc.'s CFO hired you as a consultant to help her estimate the cost of capital. You have been provided with the following data: rRF = 4.10%; RPM = 5.25%; and b = 1.30. Based on the CAPM approach, what is the cost of equity from retained earnings?

a. 10.93%
b. 10.60%
c. 9.67%
d. 9.97%
e. 10%

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Find the cost of equity from retained earnings

Reference No:- TGS0558926

Have a Question? (oR Write a Review)

Recent Questions Asked Finance Basics

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Find the cost of equity from retained earnings

Reference No:- TGS0558926

Recent Questions Asked Finance Basics

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