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Question 12 1 pts Assume a risk-free rate of 2.59% and an expected return of the market of 8.62%. Assume further that we have
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Answer #1

As per CAPM, expected return of the stock=risk free rate+(expected return of market-risk free rate)*beta of the asset

=2.59%+(8.62-2.59)%*2.62=18.3886%

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