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Suppose the market risk premium is 6% and the risk-free interest rate is 4%. Using the data in the table below, calculate the expected return

Suppose the market risk premium is 6% and the risk-free interest rate is 4%.

Using the data in the table below, calculate the expected return of investing in

a. Starbuck's stock.

b. Hershey's stock.

c. Autodesk's stock.

Starbucks

Hershey

Autodesk

Beta

1.20

0.28

2.14

Why don't all investors hold Autodesk's stock rather than Hershey's stock?

a. Starbuck's stock.

The expected return of Starbucks stock is %. (Round to two decimal places.)

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