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Express the cost of equity in percent

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You are trying to estimate the cost of equity for B&T Inc. The beta of B&T is 1.6, the risk free rate is 2.76%, and the expected return on the market portfolio is 9.6%. Using the CAPM estimate the cost of equity for B&T. Express the cost of equity in percent and round to two decimals (do not include the %-symbol in the answer).

Reference no: EM132685590

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