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Problem 6-2 Rate of return (Show formula) BB Corporation's stock has a beta of 1.2. The risk-free rate is 5% and the expected return on

Problem 6-2 Rate of return (Show formula)

BB Corporation's stock has a beta of 1.2. The risk-free rate is 5% and the

expected return on the market is 13%. What is the required rate of return on BB Corporation's stock?

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