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- Assume that the risk-free rate is 3.5% and the required return on the market is 9%. What is the required rate of return

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- Assume that the risk-free rate is 3.5% and the required return on the market is 9%. What is the required rate of return on a stock with a beta of 3? Round your answer to two decimal places. Assume that the risk-free rate is 5.5% and the market risk premium is 8%. What is the required return for the overall stock market? Round your answer to one decimal place. % What is the required rate of return on a stock with a beta of 0.7? Round your answer to one decimal place. %

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Scenario 1 Riskfree rate Rf 35 Market risk premium Rm Rf 9 35 55 ... blur-text-image

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