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Here are data on two companies. The T-bill rate is 4.8% and the market risk premium is 5.9% Company $1 Discount Store Everything $5 Forecast

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Here are data on two companies. The T-bill rate is 4.8% and the market risk premium is 5.9% Company $1 Discount Store Everything $5 Forecast return 128 118 Standard deviation of returns 126 14 Beta 1.6 1.0 What would be the fair return for each company, according to the capital asset pricing model (CAPM)? (Round your answers decimal places.) Expected Return Company $1 Discount Store Everything $5 % %

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