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You have run a regression of monthly returns on Southeast Co. against monthly returns of the S&P 500 index, and come up with the following
You have run a regression of monthly returns on Southeast Co. against monthly returns of the S&P 500 index, and come up with the following output:
Return = 0.25% + 1.25(Return Market - Risk free rate)
The one-year treasury bill rate is 4.8%. The expected Market Risk Premium is 5.8%
What is the expected return on Southest Co. over the next year?
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