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Magee Companys stock has a beta of 1.20, the risk-free rate is 4.50%, and the market risk premium is 5.00% What is Magees r
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Answer #1

Magee's Required rate as per CAPM method =Risk Free Rate+ Beta*(Market return-Risk Free rate) =4.50%+1.20*5% =10.50%

Option a is correct option

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