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Using the Capital Asset Pricing Model, the required rate of return for an individual stock is equal to: Risk free rate plus the market premium

Using the Capital Asset Pricing Model, the required rate of return for an individual stock is equal to:

Risk free rate plus the market premium minus the Beta coefficient.

Risk free rate plus the market premium divided by the Beta coefficient.

Risk free rate plus the market premium times the Beta coefficient.

Risk free rate plus the market premium plus the Beta coefficient.

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