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Required Rate of Return AA Corporation's stock has a beta of 0 . 9 . The risk - free rate is 2 % , and

Required Rate of Return

AA Corporation's stock has a beta of

0.9 .

The risk

-

free rate is

2 %,

and the expected return on the market is

10 % .

What is the required rate of return on AA's stock? Do not round intermediate calculations. Round your answer to one decimal place.

%

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