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Apply Capital Asset Pricing Model Assume that Riskfree rate (RF) = 4% and Expected market return (RM) = 10% (i.e., the Market Risk Premium, (RM
Apply Capital Asset Pricing Model Assume that Riskfree rate (RF) = 4% and Expected market return (RM) = 10% (i.e., the Market Risk Premium, (RM - RF) = 6%).
Apply the CAPM and calculate the Cost of Equity (RE) for Puma SE . Beta = 0.61
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