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You want to find the expected return for Tesla Inc. using the CAPM. First, you need the market risk premium. Use the Canada 3 -

You want to find the expected return for Tesla Inc. using the CAPM. First, you need the market risk premium. Use the Canada 3-month Treasury Bill Yield of 4.99%. as a proxy for the risk-free rate (remember, T-Bills are a very short term government bonds). Use 10.05% to calculate the market risk premum. Next, Use a beta of 2.28 for TESLA. What is the expected return for Tesla Inc., using CAPM? What assumptions have you made to arrive at this number?

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