Question
Cool Company's stock has a beta of 1.30, the risk-free rate is 4.25%, and the market risk premium (r M r RF ) is 5.50%.
Cool Company's stock has a beta of 1.30, the risk-free rate is 4.25%, and the market risk premium (rM rRF) is 5.50%. What is the firm's required rate of return?
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Risk Management And Insurance
Authors: James TrieschmannSandra GustavsonSandra Gustavson, Robert HoytSandra Gustavson, Robert Hoyt, David Sommer
12th Edition
0324183208, 9780324183207
