Consider asset q which has a beta of 080 if the market has


Consider asset Q, which has a beta of 0.80. If the market has expected return of 12%, and the risk- free rate is 3%, what should be the expected return of asset Q according to the CAPM?

a. 11.2%

b. 12.2%

c. 9.8%

d. none of the above

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Finance Basics: Consider asset q which has a beta of 080 if the market has
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