A stock has a beta of 1.23, the expected return on the market is 11.9 percent, and the risk-free rate is 4.6 percent. What must the expected return on this stock be?
A stock has a beta of 1.23, the expected return on the market is 11.9 percent, and the risk-free rate is 4.6 percent. What must the expected return on this stock be?
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter2: Risk And Return: Part I
Section: Chapter Questions
Problem 12P: Stock R has a beta of 1.5, Stock S has a beta of 0.75, the expected rate of return on an average...
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A stock has a beta of 1.23, the expected return on the market is 11.9 percent, and the risk-free rate is 4.6 percent. What must the expected return on this stock be? |
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