The Up and Coming Corporation's common stock has a beta of 1.1. If the risk-free rate is 3.5 percent and the expected return on the market is 13 percent,
Required:
Question 1: What is the company's cost of equity capital? (Do not round your intermediate calculations.)
- 14.65%
- 14.51%
- 13.95%
- 17.8%
- 13.25%
Note: Please show how you came up with the solution.