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1. The risk-free rate of DAF Digital LLC. Is percent. The average expected return for the industry is percent. a. Using CAPM, what is the

1. The risk-free rate of DAF Digital LLC. Is percent. The average expected return for the industry is percent.

a. Using CAPM, what is the expected return of DAF Digital LLC if the beta of its stock is 0.7?

b. What is the beta of a competitor in the same industry that has an expected return of 24 percent?

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