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Q12) An analyst gathered the following information for a stock and market parameters: stock beta =0.716; expected return on the Market =10.83%; expected return on
Q12) An analyst gathered the following information for a stock and market parameters: stock beta =0.716; expected return on the Market =10.83%; expected return on T-bills =4.00%; current stock Price =$5.12; expected stock price in one year =$12.70; expected dividend payment next year =$1.15. Calculate the required return and expected return for this stock
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