Question
Gordon Bombay Companys stock has a beta of 1.40, the U.S. Treasury Bill rate is 4.25%, and the Market Risk Premium is 5.50%. What is
Gordon Bombay Companys stock has a beta of 1.40, the U.S. Treasury Bill rate is 4.25%, and the Market Risk Premium is 5.50%. What is the Bombays required rate of return according to the CAPM?
Group of answer choices
11.95%
12.65%
11.65%
11.36%
12.25%
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Behavioral Finance And Capital Markets
Authors: A. Szyszka
5th Edition
1137338741, 9781137338747
