Question
Use the Capital Asset Pricing Model to determine what your required rate of return should be for Nike (NKE) with a reported Beta of 1.26.
Use the Capital Asset Pricing Model to determine what your required rate of return should be for Nike (NKE) with a reported Beta of 1.26. Assume that the 10 year Treasury bond yield is 1.40% (proxy for nominal risk-free rate) and the average return on the market, as measured by the S&P500 is 12.00%.
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The Routledge Handbook Of Financial Literacy
Authors: Gianni Nicolini, Brenda J. Cude
1st Edition
0367457776, 978-0367457778
