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Problem:

You are considering an investment in Citizens Bank Corp. The firm has a beta of 1.6. Currently, U.S. Treasury bills are yielding 2.75% and the expected return for the S & P 500 is 14%.

Required:

Question: What rate of return should you expect for your investment in Citizens Bank?

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M91148110

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