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Problem 8-4 Expected and required rates of return Assume that the risk-free rate is 4% and the market risk premium is 5%. a. What is
Problem 8-4 Expected and required rates of return Assume that the risk-free rate is 4% and the market risk premium is 5%. a. What is the expected return for the overall stock market? Round your answer to two decimal places. b. What is the required rate of return on a stock with a beta of 2.2? Round your answer to two decimal places
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