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Please provide the steps to solving this problem using a financial calculator as well as reasonings for certain steps if needed: Your broker has developed

Please provide the steps to solving this problem using a financial calculator as well as reasonings for certain steps if needed:

Your broker has developed a list of firms, their betas, and the return he expects the stock to yield over the next twelve months (labeled "Expected Return"). You have estimated that the risk-free rate is 5% and the return to the market will be 12%. Assuming that CAPM is correct, which stock should you purchase?

Firm Beta Expected Return
Anderson, Inc. 0.75 10.5%
Delta Vanlines 1.24 13.0%
Nathan's Bakeries 1.60 16.0%
Z-man Electronics 2.15 19.0%

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