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Stock P has an expected return of 19 percent and a beta of 1.6. Stock R has an expected return of 10.5 percent and a
Stock P has an expected return of 19 percent and a beta of 1.6. Stock R has an expected return of 10.5 percent and a beta of 0.8. Both stocks have the same reward-to-risk ratio. What is the risk-free rate?
2.00 percent | ||
4.26 percent | ||
1.77 percent | ||
3.50 percent |
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