The risk-free rate is currently 3%, and the market risk premium is 7%. According to the Capital
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Question:
The risk-free rate is currently 3%, and the market risk premium is 7%. According to the Capital Asset Pricing Model, the expected return on a security with a beta of 1.25 is:
A. 8.75%
B. 11.75%
C. 5%
D. 12.50%
Related Book For
Principles of managerial finance
ISBN: 978-0132479547
12th edition
Authors: Lawrence J Gitman, Chad J Zutter
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