Multiple Choice
The U.S. risk-free rate is currently 3 percent. The expected U.S. market return is 10 percent. Solso, Inc. is considering a project that has a beta of 1.2. What is the cost of dollar-denominated equity?
A) 8.4 percent
B) 11.4 percent
C) 10.0 percent
D) None of these are correct.
Correct Answer:
Verified
Correct Answer:
Verified
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