Stan is expanding his business and will sell common stock, Ask an Expert

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Stan is expanding his business and will sell common stock for needed funds. if the current risk-free rate is 4% and the expected market return is 12%, what is the cost of equity for Stan of the beta of the stock is:

a. 0.75?
b. 0.90?
c. 1.05?
d. 1.20?

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