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The risk-free rate is 5% and the expected rate of return on the market portfolio is 12%.

a. Calculate the required rate of return on a security with a beta of 1.35.

Required Return: ________ %

(Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92880982

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