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b. The current market provides a return of 10% and treasury bills yields 3%. i Calculate the required rate of return of an asset with

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b. The current market provides a return of 10% and treasury bills yields 3%. i Calculate the required rate of return of an asset with a beta of 1.5. (2 marks) ii. Identify whether the asset is underpriced or overpriced if the expected return is 10%. Why? (2 marks)

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