Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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You are considering adding Gamma stock to your portfolio. What is the required return on the stock if it has a beta of 0.9, the risk-free rate is 3%, and the expected return on the market is 10%? If the expected return on the investment is 9%, would you add Gamma stock to your portfolio?
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