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Sonia Coto is considering buying some shares of Walmart stock. She wants to determine the appropriate required rate of return. She has compiled the following

Sonia Coto is considering buying some shares of Walmart stock. She wants to determine the appropriate required rate of return. She has compiled the following information: Walmart Beta = 2 The risk-free rate of interest is 6 percent The expected return on the market is 16 percent. Using the Capital Asset Pricing Model and Security Market Line, what is the appropriate required rate of return on this stock?

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