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help in finance home work Assume that the real interest rate is 2.0%; Expected Inflation is 3.0%; Beta is 1.30; Required Return on the Market
help in finance home work
Assume that the real interest rate is 2.0%; Expected Inflation is 3.0%; Beta is 1.30; Required Return on the Market is 10.0%.
Use CAPM to calculate:-
1- The risk-free rate. and The market risk-premium
2 - The Expected or Required rate of return.
3 - If Expected Inflation is 4.0%; The Expected rate of return becomes?
4 - If the Required Return on the Market is 12.0%; The Expected rate of return becomes?
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