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You are trying to calculate the rate of return on a share of stock. Here is the data you have complied: the beta of the

You are trying to calculate the rate of return on a share of stock. Here is the data you have complied: the beta of the overall stock market = 1.0; the beta on this particular stock is 1.50; the prime rate of interest is 7%; LIBOR is 6.5%; the rate on 3 month T-Bills is 3% and on 10 year T-Noted is 3.5%; the rate of return on the stock market is 10%. Again, using CAPM, what should be the rate of return in on XYZ?

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