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Problem:

The stock of Big Joe's has a beta of 1.50 and an expected return of 12.60 percent. The risk-free rate of return is 5.1 percent.

Required:

What is the expected return on the market?

15.15 percent

8.60 percent

4.95 percent

10.10 percent

7.50 percent

Note: Provide support for your rationale.

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M91148562

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