Question: A firm's stock has a beta of 1.6, the 30-year treasury yield is 5.3, and the market risk premium is 6.2. Using the Capital Asset

A firm's stock has a beta of 1.6, the 30-year treasury yield is 5.3, and the market risk premium is 6.2. Using the Capital Asset Pricing Model (CAPM).


What is the firm's required rate of return?

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