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Dinner Foods stock has a beta of 1.45 and an expected return of 13.43%. Edwards' Meals stock has a beta of .95 and an expected
Dinner Foods stock has a beta of 1.45 and an expected return of 13.43%. Edwards' Meals stock has a beta of .95 and an expected return of 10.27%. Assume that both stocks are correctly priced. Given this, the risk-free rate is _____________blank% and the market rate of return is _____________blank%. Multiple Choice 4.02; 11.53 4.09; 12.35 4.10; 11.53 4.27; 10.59 4.41; 10.25
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