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Question 8 0 out of 2 points RAD Inc. has a beta equal to 1.7 and a required return of 18% based on the CAPM.

Question 8

0 out of 2 points

RAD Inc. has a beta equal to 1.7 and a required return of 18% based on the CAPM. If the market risk premium is 9%, the risk-free rate of return is

Selected Answer: 3.5%.

Answers:

2.3%.

3.5%.

2.7%.

1.5%.

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