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You are considering investing in a new bike sharing company, InstaBike Inc. Assume the risk-free rate (TRF) is 3%. Investors require a 10% rate of
You are considering investing in a new bike sharing company, InstaBike Inc. Assume the risk-free rate (TRF) is 3%. Investors require a 10% rate of return on a stock portfolio (rm). If Instabike Inc has a Beta of 1.5, what is the required rate of return on this stock? A. 10.5% B. 18% C. 13.5% D. 11%
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