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Cornfeld Company stock has beta of 1.1 and its expected return is 12%, whereas Goldstein Company stock has beta of 1.2 and its expected return
Cornfeld Company stock has beta of 1.1 and its expected return is 12%, whereas Goldstein Company stock has beta of 1.2 and its expected return is 12.3%. Find the riskless rate and the expected return on the market. (answer is r = 8.7%, E(Rm) = 11.7%)
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