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Investors expect the market rate of return this year to be 14.00%. The expected rate of return on a stock with a beta of 1.8
| Investors expect the market rate of return this year to be 14.00%. The expected rate of return on a stock with a beta of 1.8 is currently 25.20%. If the market return this year turns out to be 12.70%, how would you revise your expectation of the rate of return on the stock? |
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