Question
m The beta for Walmart's stock is 0.55, the current risk-free rate (r) is 1.8% and the current expected return on the market portfolio
m The beta for Walmart's stock is 0.55, the current risk-free rate (r) is 1.8% and the current expected return on the market portfolio (E(r)) is 7.4%. If the expected return on the market portfolio increases by 0.16%, by how much will the expected return on Walmart's stock change? Express your result in percent and round to two decimals (do not include the %-symbol in your answer). Enter increases as positive numbers, decreases as negative numbers.
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Principles of Finance
Authors: Scott Besley, Eugene F. Brigham
6th edition
9781305178045, 1285429648, 1305178041, 978-1285429649
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