Given a risk-free rate (^rf) of 6 percent and a market risk premium (^rm ^rf) of 8.1

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Given a risk-free rate (^rf) of 6 percent and a market risk premium (^rm ^rf) of 8.1 percent, calculate the required rate of return on each of the following stocks, based on the betas given in Table 8.8:

a. American Electric Power

b. Apple

c. General Mills

d. Southwest Airlines

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