Discount Retailers Has an Overall Beta of

Discount Retailers has an overall beta of .96 and a cost of equity of 10.4 percent for the firm overall. The firm is financed solely by common stock. Division A within the firm has an estimated beta of 1.13
And is the riskiest of all of the firm's divisions What is an appropriate cost of capital for division A if
The market risk premium is 5 percent?

A) 9.84 percent
B) 11.03 percent
C) 11.18 percent
D) 11.25 percent
E) 12.24 percent