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I have completed part of the problem by locating the beta, Please provide the formula with the answer Betas and Expected Stock Returns. Use the

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I have completed part of the problem by locating the beta, Please provide the formula with the answer

image text in transcribed Betas and Expected Stock Returns. Use the capital asset pricing model to estimate the expected return for each of these stocks. You will need a figure for the current Treasury bill rate. You can find this also on finance.yahoo.com by clicking on BondsRates. Assume for your estimates a market risk premium of 7%. Try comparing the stock betas of Google (GOOG), @ 691.02 The Home Depot (HD), @132.73 BETA 0.990855 Du Pont (DD), @66.41 BETA 1.85099 Altria Group (MO), and @ 62.19 BETA 0.686051 Caterpillar (CAT). @ 77.75 . BETA 1.032 BETA 1.238.34 2. Fund Betas. Log on to www.fidelity.com and look at the list of mutual funds that are managed by Fidelity. Some of these funds, such as the Aggressive Growth Fund, appear from their names to be high-risk. Others, such as the Balanced Fund, appear to be low-risk. Pick several apparent high- and low-risk funds and then check whether their betas really do match the fund's name

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