Question 1 assume that the risk-free rate is 6 and the, Ask an Expert

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Question: 1. Assume that the risk-free rate is 6% and the required return on the market is 13%. What is the required rate of return on a stock with a beta of 0.7?

2. Assume that the risk-free rate is 5% and the market risk premium is 6%. What is the required return for the overall stock market? What is the required rate of return on a stock with a beta of 1.2?

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Category:- Basic Finance
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