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uantitative Problem: You are given the following information for Wine and Cork Enterprises (WCE): rRF = 4%; rM = 9%; RPM = 5%, and beta
uantitative Problem: You are given the following information for Wine and Cork Enterprises (WCE): rRF = 4%; rM = 9%; RPM = 5%, and beta = 1.4 What is WCE's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. % If inflation increases by 1% but there is no change in investors' market risk premium, what is WCE's required rate of return now? Do not round intermediate calculations. Round your answer to two decimal places. % Assume now that there is no change in inflation, but market risk premium increases by 2%. What is WCE's required rate of return now? Do not round intermediate calculations
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