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Assume that you are given the following historical returns for the Market and Security J. Also assume that the expected risk-free rate for the coming
Assume that you are given the following historical returns for the Market and Security J. Also assume that the expected risk-free rate for the coming year is 4.0 percent, while the expected market risk premium is 15.0 percent. Given this information, determine the required rate of return for Security J for the coming year, using CAPM. 24.63% 22.34% 24.10% 23.49% 21.20%
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