Difference between two industries required rates of return
Question:
ABC Manufacturing has a beta of 1.65, while XYZ Industries has a beta of 0.85. The required return on the stock market is 12.00% and the risk-free rate is 5.00%. What is the difference between ABC and XYZ's required rates of return?
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The required return on the stock market is 12.00% and the risk-free rate is 5.00%. What is the difference between ABC and XYZ's required rates of return?
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