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6-21. (Capital asset pricing model) MFI, Inc. has a beta of 0.86. If the expected mar- ket return is 11.5 percent and the risk-free
6-21. (Capital asset pricing model) MFI, Inc. has a beta of 0.86. If the expected mar- ket return is 11.5 percent and the risk-free rate is 3 percent, what is the appropriate required return of MFI (using the CAPM)?
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Introduction To Management Science
Authors: Bernard W. Taylor
12th Edition
1292092912, 9781292092911
