Given the following information, determine the risk-free rate. - 3888

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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.