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8-10. CAPM and required return Bradford Manufacturing Company has a beta of 1.9, while Farley Industries has a beta of 0.35. The required return on
8-10. CAPM and required return Bradford Manufacturing Company has a beta of 1.9, while Farley Industries has a beta of 0.35. The required return on an index fund that holds the entire stock market is 9.5%. The risk-free rate of interest is 3.25%. By how much does Bradford's required return exceed Farley's required return? Round your answer to two decimal places. %
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