Question: A) Compute a fair rate of return for Intel common stock, which has a 0.8 beta. The risk-free rate is 8 percent, and the market

A) Compute a fair rate of return for Intel common stock, which has a 0.8 beta. The risk-free rate is 8 percent, and the market portfolio (New York Stock Exchangestocks) has an expected return of 14 percent.

B) Why is the rate you computed a fair rate?

a) Using the CAPM, the fair rate of return for Intel common stock is ____%

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