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Using the CAPM, calculate the Expected Return for the Nittany Company: Alpha = 1%; Beta = 1.2; T-Bill Rate = 4%; S&P 500 average return
Using the CAPM, calculate the Expected Return for the Nittany Company: Alpha = 1%; Beta = 1.2; T-Bill Rate = 4%; S&P 500 average return rate = 9%; WACC = 5%
Group of answer choices
a) 10.0%
d) 5.7%
b) 6.3%
e) 7.4%
c) 8.2%
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