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FIN 3213 Principles of Finance (1) Homework: Chapter 9 HW Question 6, Cost of common stock equity-CAPM Netflix common stock has a beta, b, of

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FIN 3213 Principles of Finance (1) Homework: Chapter 9 HW Question 6, Cost of common stock equity-CAPM Netflix common stock has a beta, b, of 0.7. The risk free rate is 6%, and the market return is 14% a. Determine the risk premium on Netflix common stock b. Determine the required return that Netflix common stock should provide c. Determine Netflix's cost of common stock equily using the CAPM a. The risk premium on Netflix common stock is % (Round to ono decimal place)

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