In February 2014 the risk free rate was 4.75 percent, the market risk premium was 6 percent

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In February 2014 the risk free rate was 4.75 percent, the market risk premium was 6 percent and the beta for Twitter stock was 1.31. What is the expected return that was consistent with the systematic risk associated with the returns on Twitter stock?
Expected Return
The expected return is the profit or loss an investor anticipates on an investment that has known or anticipated rates of return (RoR). It is calculated by multiplying potential outcomes by the chances of them occurring and then totaling these...
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Related Book For  answer-question

Fundamentals of Corporate Finance

ISBN: 978-1118845899

3rd edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

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