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Problem 6-02 Required Rate of Return AA Corporation's stock has a beta of 2.2. The risk-free rate is 7% and the expected return on the

Problem 6-02

Required Rate of Return

AA Corporation's stock has a beta of 2.2. The risk-free rate is 7% and the expected return on the market is 8%. What is the required rate of return on AA's stock? Round your answer to two decimal places.

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