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Here are data on two companies. The T-bill rate is 4.6% and the market risk premium is 8.9%. Company Forecast return Standard deviation of returns
Here are data on two companies. The T-bill rate is 4.6% and the market risk premium is 8.9%. Company Forecast return Standard deviation of returns Everything $5 14% 24% $1 Discount Store 15% 22% 1.4 What would be the fair return for each company, according to the capital asset pricing model (CAPM)? (Round your answers to 2 decimal places.) Expected Return $1 Discount Store Everything $5
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