Question
A stock has a beta of 1.26, the expected return on the market is 11.2 percent, and the risk-free rate is 4.2 percent. What must
A stock has a beta of 1.26, the expected return on the market is 11.2 percent, and the risk-free rate is 4.2 percent. What must the expected return on this stock be?
| A. | 12.84 percent | |
| B. | 13.02 percent | |
| C. | 9.97 percent | |
| D. | 12.41 percent |
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AQA AS Accounting Unit 1 Introduction To Financial Accounting
Authors: Brendan Casey
1st Edition
1499789653, 978-1499789652
