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Gizmo Corp. common stock has a required return of 14.4% and a beta of 1.5. If the expected risk free return is 5%, what is
Gizmo Corp. common stock has a required return of 14.4% and a beta of 1.5. If the expected risk free return is 5%, what is the expected return for the market based on the CAPM?
a.
19.40%
b.
21.90%
c.
12.35%
d.
11.27%
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