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10. Suppose that Luedecke Corporations stock has a beta of 1.3, the expected return on the market portfolio is 13%, and the riskfree rate is

10. Suppose that Luedecke Corporations stock has a beta of 1.3, the expected return on the market portfolio is 13%, and the riskfree rate is 4%. According to the CAPM, the expected return on Luedeckes stock should be:

a. 15.7%

b. 11.7%

c. 20.9%

d. -16%

e. None of the above

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10. Suppose that Luedecke Corporations stock has a beta of 1.3, the expected return on the market portfolio is 13%, and the riskfree rate is

10. Suppose that Luedecke Corporations stock has a beta of 1.3, the expected return on the market portfolio is 13%, and the riskfree rate is 4%. According to the CAPM, the expected return on Luedeckes stock should be: a. 15.7% b. 11.7% c. 20.9% d. -16% e. None of the above

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10. Suppose that Luedecke Corporations stock has a beta of 1.3, the expected return on the market portfolio is 13%, and the riskfree rate is 4%. According to the CAPM, the expected return on Luedeckes stock should be:

a. 15.7%

b. 11.7%

c. 20.9%

d. -16%

e. None of the above