Question: Assuming that the CAPM approach is appropriate, compute the required rate of return for each of the following stocks, given a risk-free rate of 0.07

Assuming that the CAPM approach is appropriate, compute the required rate of return for each of the following stocks, given a risk-free rate of 0.07 and an expected return for the market portfolio of 0.13:
Assuming that the CAPM approach is appropriate, compute the required

What implications can you draw?

Stock AB C D E Beta 1.5 1.0 0.6 2.0 1.3

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