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Let us assume Tesla has a beta of 1.3 and Ford has a beta of 0.4 . The required return on an index fund that
Let us assume Tesla has a beta of 1.3 and Ford has a beta of 0.4 . |
The required return on an index fund that holds the entire stock market is 11%. |
The risk-free rate of interest is 4.5%. |
By how much does Teslas required return exceed Fords required retum? |
Enter your answer in the following format: 0.1234 |
Hint: Answer is between 0.0532 and 0.0632 |
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