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You are given the following information corporate stock P and the market: A. The annual effective risk-free rate is 4. B. The expected return and

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You are given the following information corporate stock P and the market: A. The annual effective risk-free rate is 4. B. The expected return and volatility for corporate stock P and the market are shown in the table below: Expected Return Volatility corporate stock P 9 23 Market 6 20 C. The correlation between the returns of corporate stock P and the market is 12. Assume the Capital Asset Pricing Model holds. Calculate the required return for corporate stock P? 31

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