If the treasury bill yield is 5 and the market portfolio is


Stock A has a current price of $25, a beta of 1.25, and a dividend yield of 6%. If the Treasury bill yield is 5% and the market portfolio is expected to return 14%, what should stock A sell for at the end of an investor's 2-year investment horizon?

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Finance Basics: If the treasury bill yield is 5 and the market portfolio is
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