Question
The expected return of the market is 12%, the stock of XYZ Corp. has a beta coefficient of 1.2, and the risk-free rate of return
The expected return of the market is 12%, the stock of XYZ Corp. has a beta coefficient of 1.2, and the risk-free rate of return is 3%.If the stock's realized return is 15.5%, what would its implied alpha be?
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Analysis for Financial Management
Authors: Robert c. Higgins
8th edition
73041807, 73041803, 978-0073041803
