A firm has a required return of 142 and a beta of 163 if


A firm has a required return of 14.2% and a beta of 1.63. If the risk-free rate is currently 5.4%, what is the expected return to the market? Assume that CAPM is correct.

5.40%

1.07%

8.80%

11.87%

10.80%

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Finance Basics: A firm has a required return of 142 and a beta of 163 if
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