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The required rate of return for a common stock is defined as the: expected return given an assumed set of probabilities and expected cash flows
The required rate of return for a common stock is defined as the: expected return given an assumed set of probabilities and expected cash flows on the stock. minimum expected return necessary to induce an investor to purchase the stock.
maximum expected return based on estimates of expected cashflows from the stock. expected return after evaluation of the risk on the stock has been taken.
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