Question
Stock X has a beta of 0.88 and an expected return of 10.8 percent. Stock Y has a beta of 1.15 and an expected return
Stock X has a beta of 0.88 and an expected return of 10.8 percent. Stock Y has a beta of 1.15 and an expected return of 13.1 percent. What is the risk-free rate of return assuming that both stock X and stock Y are correctly priced?
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Personal Finance
Authors: Jack Kapoor, Les Dlabay, Robert Hughes
4th Edition
0256147175, 978-0256147179
