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FIN370-3006/ Calculate the required rate of return for ABC Inc., assuming that (1) investors expect a 3.0% rate of inflation in the future, (2)
FIN370-3006/ Calculate the required rate of return for ABC Inc., assuming that (1) investors expect a 3.0% rate of inflation in the future, (2) the real risk-free rate is 1.0%, (3) the market risk premium is 2.0%, (4) the firm has a beta of 1.00, and (5) its realized rate of return has averaged 15.0% over the last 5 years. 7% 5% 8% 6%
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Finance for Non Financial Managers
Authors: Pierre Bergeron
7th edition
176530835, 978-0176530839
