What is the required rate of return on a stock with a beta


Required Rate of Return

Assume that the risk-free rate is 6.5% and that the market risk premium is 4%.

1. What is the required rate of return on a stock with a beta of l.2? %

2. What is the required rate of return on a stock with a beta of 2.2? %

3. What is the required return on the market? %

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Financial Management: What is the required rate of return on a stock with a beta
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