31. You are analyzing a stock that has a beta of 2.4. The risk-free rate is 3%...

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31. You are analyzing a stock that has a beta of 2.4. The risk-free rate is 3% and you esti- mate the market risk premium to be 8%. If you expect the stock to have a return of 15% over the next year, should you buy it? Why or why not?

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Fundamentals Of Corporate Finance

ISBN: 9781292018409

3rd Global Edition

Authors: Berk, Peter DeMarzo, Jarrad Harford

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