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The risk-free rate is equal to 3 percent and the market risk return is 12 percent. Mercury has a beta of 2.0. Answer Question a-c.
The risk-free rate is equal to 3 percent and the market risk return is 12 percent. Mercury has a beta of 2.0. Answer Question a-c.
a) What is the market risk premium?
b) What is the risk premium for Mercury?
c) What is the required rate of return for Mercury?
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