Question: QUESTION 1 . Suppose that a foreign project has a beta of 0.85, the risk-free return is 12 percent, and the required return on the

QUESTION 1

. Suppose that a foreign project has a beta of 0.85, the risk-free return is 12 percent, and the required return on the market is estimated at 19 percent. What is the cost of capital for the project?

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