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The stock- of- Raleigh Paving Co. has- an- expected- return- of 7.9% and- -a-beta-of 0.95. You estimate- the-return- on-a-risk-free asset- to- be 1.75% and- the-
The stock- of- Raleigh Paving Co. has- an- expected- return- of 7.9% and- -a-beta-of 0.95. You estimate- the-return- on-a-risk-free asset- to- be 1.75% and- the- rate- of- inflation-to-be 3.25%. If- this is the case, the- market-risk- premium-is- O 6.47% 5.02% 6.15% 7.90% 4.25%
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