Question
A stock has an expected return of 10.2%, the risk-free rate is 4.1%, and the market risk premium is 7.2%. What must the beta of
A stock has an expected return of 10.2%, the risk-free rate is 4.1%, and the market risk premium is 7.2%. What must the beta of this stock be?(Do not round intermediate calculations. Round the final answer to 4 decimal places.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Introductory Financial Accounting for Business
Authors: Thomas Edmonds, Christopher Edmonds
1st edition
1260299449, 978-1260299441
