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Investment bankers at Cowen & Co. announced that the stock of Planet Fitness (ticker: PLNT) has a beta = 1.4 and an E(R) = 13.82%.

Investment bankers at Cowen & Co. announced that the stock of Planet Fitness (ticker: PLNT) has a beta = 1.4 and an E(R) = 13.82%. If Rm = 11.1%, what is the current return on U.S. T-bills?

Multiple Choice

  • 3.19 percent

  • 3.80 percent

  • 4.70 percent

  • 4.30 percent

  • 2.90 percent

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