(SML) The following table shows the beta of each stock. If the expected market return is10%and the...
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(SML) The following table shows the beta of each stock. If the expected market return is10%and the risk-free interest rate is4%, according to the SML equation (from CAPM), the expected return of Microsoft is% _______.
Stock | Beta |
0.1 | |
Microsoft | 1.4 |
GM | 9.1 |
Related Book For
Principles of Corporate Finance
ISBN: 978-0078034763
11th edition
Authors: Richard Brealey, Stewart Myers, Franklin Allen
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