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    Exam 10: Cost of Capital
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    O'Brien Inc
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O'Brien Inc

Question 34

Question 34

Multiple Choice

O'Brien Inc. has the following data: rRF = 5.00%; RPM = 6.00%; and b = 1.05. What is the firm's cost of equity from retained earnings based on the CAPM?


A) 11.30%
B) 11.64%
C) 11.99%
D) 12.35%
E) 12.72%

Correct Answer:

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