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Been working on this question for awhile... not sure where I'm going wrong. Would really appreciate any help. Thank you! A stock has a beta
Been working on this question for awhile... not sure where I'm going wrong. Would really appreciate any help. Thank you!
A stock has a beta coefficient, , equal to 1.20. The risk premium associated with the market is 9 percent, and the risk-free rate is 5 percent. Application of the capital asset pricing model indicates that the stock's appropriate return should be _____.
9.8%
5.2%
12.5%
15.8%
17.2%
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