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The beta of Microsofts stock is 1.2, whereas the risk-free rate of return is 4 percent. Assume that the expected return on the market is
The beta of Microsofts stock is 1.2, whereas the risk-free rate of return is 4 percent. Assume that the expected return on the market is 16 percent. Then, what is the expected return on Microsoft stock? A. 8.80% B. 28.00% C. 18.40% D. 23.20%
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