Problemstock y has a beta of 09 and an expected return of, Ask an Expert

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Problem:

Stock Y has a beta of 0.9 and an expected return of 12.6 percent. Stock Z has a beta of 0.6 and an expected return of 8.9 percent.

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Question: What would the risk-free rate have to be for the two stocks to be correctly priced?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91170047

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