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You are given the following information for Wine and Cork Enterprises ( WCE ) : rRF = 5 % ; rM = 1 0 %
You are given the following information for Wine and Cork Enterprises WCE:
rRF ; rM ; RPM and beta What is WCE's required rate of return? Round your answer to decimal places. Do not round intermediate calculations
Assume now that there is no change in inflation, but risk aversion increases by What is WCE's required rate of return now? Do not round intermediate calculations. Round your answer to two decimal places.
If inflation increases by and risk aversion increases by what is WCE's required rate of return now? Do not round intermediate calculations. Round your answer to two decimal places.
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