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You believe that a stock is fairly priced according to the CAPM. The stock has a beta of 3.8 when the market risk premium is
You believe that a stock is fairly priced according to the CAPM. The stock has a beta of 3.8 when the market risk premium is 4.4% and the risk free rate is 1.5%. If the stock's dividend yield is 4.9% what is the stock's expected capital gain yield?
1.0%
13.32%
18.62%
5.9%
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