You are holding a stock that has a beta of 2.11 and is currently in equilibrium....

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Answer 1

Answer #1

Beta-2011, Re=31-110%. Rm= 18.90 % Re=Rf + (Rm - Rf) x Beta → 31.1 = Rp +(18-90 - RP) X 2011 > 31011 = Rf +39.88 - 2.11 Rf →

Answer 2

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