Given the following information, determine the risk-free rate. - 1467

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Request Description

Given the following information, determine the risk-free rate.

 Cost of equity            = 12%

 Beta                                       = 1.50

 Market risk premium   = 3%

          a.   8.0%

          b.   7.5%

          c.   7.0%

          d.   6.5%

Solution Description

Given the following information, determine the risk-free rate.

 Cost of eq