Question
Find beta, and determine the required rate of return. The market risk premium is 12%, and the risk-free rate is 5%. Comparative Returns in the
Find beta, and determine the required rate of return. The market risk premium is 12%, and the risk-free rate is 5%.
| Comparative Returns in the Market | Returns on the Stock |
| 8% | 4% |
| 9% | 10% |
| 2% | 1% |
| 10% | 6% |
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International Financial Management
Authors: Geert Bekaert, Robert J. Hodrick
2nd edition
013299755X, 132162768, 9780132997553, 978-0132162760
