Stock r has a beta of 11 stock s has a beta of 030 the, Financial Management

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Stock r has a beta of 11 stock s has a beta of 030 the

Stock R has a beta of 1.1, Stock S has a beta of 0.30, the expected rate of return on an average stock is 12%, and the risk-free rate is 7%. By how much does the required return on the riskier stock exceed the required return on the riskier stock exceed that on the less risky stock? Round your answer to two decimal places.

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Financial Management: Stock r has a beta of 11 stock s has a beta of 030 the

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