Tangier manufacturings common stock has a beta of 18 if the


Tangier Manufacturing's common stock has a beta of 1.8. If the expected risk free return is 5% and the expected return on the market is 16%, what is the expected return on Tangier's stock?

a) 13.5%
b) 19.8%
c) 24.8%
d) 28.8%

 

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Finance Basics: Tangier manufacturings common stock has a beta of 18 if the
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