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Question) Calculate the expected return for XYZ Inc. which has a beta of 2.3 when the risk-free rate is 3% and you expect the current

Question) Calculate the expected return for XYZ Inc. which has a beta of 2.3 when the risk-free rate is 3% and you expect the current equity risk premium to be 7.2%.

a. 15.4% b. 12.7% c. 19.6% d. 10.2%

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