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Selena's Fashions has a growth rate of 6.4 percent and is equally as risky as the market while its stock is currently selling for $85
Selena's Fashions has a growth rate of 6.4 percent and is equally as risky as the market while its stock is currently selling for $85 a share. The overall stock market has a return of 18.50 percent and a risk premium of 14.75 percent. What is the expected rate of return on this stock? Select one: A. 17.75 percent B. 9.2 percent C. 18.50 percent D. 10.7 percent E. 12.80 percent
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