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Corgan's Pumpkins Co. is a distributor of excellent specialty pumpkins. In fact, the firm's spokesperson describes them as smashing! What is Corgan's required (expected) return
Corgan's Pumpkins Co. is a distributor of excellent specialty pumpkins. In fact, the firm's spokesperson describes them as smashing! What is Corgan's required (expected) return if its beta is 2.2 , the risk-free rate is
4.9%
, and the expected return on the market portfolio is
10.5%
. Assume the CAPM/SML is correct. ENTER YOUR ANSWER AS A PERCENTAGE WITH ONE DECIMAL PLACE AND NO% SIGN (e.g., if your answer is
5.2%
, enter 5.2).
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