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assume the risk-free interest rate is 7% and the market return is 12%. if the beta of a stock is 1.4, according to capm, what is the required rate of return on the stock?
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Oct 7, 2022
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assume the risk-free interest rate is 7% and the market return is 12%. if the beta of a stock is 1.4, according to capm, what is the required rate of return on the stock?
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SuperFamousGuy
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Answer:
Expected return = Risk Free Rate + [Beta x Market Return Premium]
Marko Topolnik
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Oct 11, 2022
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Marko Topolnik
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