Question: Currently the S&P is returning 9% while Treasury bills are returning 1.5%. The beta for Bedazzled Inc.'s stock is estimated to be 1.3. What is

Currently the S&P is returning 9% while Treasury bills are returning 1.5%. The beta for Bedazzled Inc.'s stock is estimated to be 1.3. What is the after-tax cost of this firms equity? Assume that the firm faces a tax rate of 40%.

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