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Stock A has a beta of .2, and investors expect i...

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Stock A has a beta of .2, and investors expect it to return 5%. Stock B has a beta of 1.8, and investors expect it to return 17%. Use the CAPM to find the expected rate of return and the market risk premium on the market. (Do not round intermediate calculations. Round your answers to 1 decimal place.) Expected rate of return % Market risk premium %

 

Paper#10987 | Written in 18-Jul-2015

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