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Gartner Inc. (IT) has a market beta of 0.96, a size beta of 0.45, and a value beta of -0.60. The market premium is 5.0%,
Gartner Inc. (IT) has a market beta of 0.96, a size beta of 0.45, and a value beta of -0.60. The market premium is 5.0%, the size premium is 2.8%, and the value premium is 2.4%. The risk-free rate is 3.5%. What is Gartner's required rate of return?
A. | 4.62% | |
B. | 5.78% | |
C. | 6.95% | |
D. | 8.12% |
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