Question: A stock has a beta coefficient, , equal to 0.80. The expected market return is 12%, and the risk-free rate is 5%. Application of the

A stock has a beta coefficient, , equal to 0.80. The

A stock has a beta coefficient, , equal to 0.80. The expected market return is 12%, and the risk-free rate is 5%. Application of the capital asset pricing model indicates that the stock's appropriate return should be 9.8% 5.2% 12.2% 17.2% 10.6%

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