You believe that the Beta Alpha Watch Company will be worth $100 per share one year from

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You believe that the Beta Alpha Watch Company will be worth $100 per share one year from now. How much are you willing to pay for one share today if the risk-free rate is 8%, the expected rate of return on the market is 18%, and the company's beta is 2.0?
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Financial Theory and Corporate Policy

ISBN: 978-0321127211

4th edition

Authors: Thomas E. Copeland, J. Fred Weston, Kuldeep Shastri

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