Question
Assume the market risk premium (MRP) currently estimated to be 7.5% and the risk-free rate is 0.95%. The potential projects that Belfry is considering have
Assume the market risk premium (MRP) currently estimated to be 7.5% and the risk-free rate is 0.95%.
The potential projects that Belfry is considering have the following expected cash flows.Each project has its own unique risk and as such, the beta on each project is given.
Project A = 1.2 Beta
Project B = 1.6 Beta
Project C = 1.7 Beta
Project D = 1.5 Beta
What is the required percentage return for each of the projects? Show the required returns to 2 decimals, that is xx.xx%
I have what I believe to be the answer to this question!!! I calculated them with the above information!!! I have no idea what else you need! I want to check to make sure I got the right answers to the problem
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