Question: 8 pts Question 19 The stock has a beta compared to the market of 1.11, which means it is riskier than a market portfolio. Also,
8 pts Question 19 The stock has a beta compared to the market of 1.11, which means it is riskier than a market portfolio. Also, assume that the risk-free rate is 1.5% and this investor expects the market to rise in value by 7.2% per year. What is the expected return of the stock based on the CAPM formula? O 8.85% O 5,61% 6.32% O 7.83%
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