Anita, Inc. is considering the following investments. The current rate on Treasury bills is 7 percent, and
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Anita, Inc. is considering the following investments. The current rate on Treasury bills is 7 percent, and the expected return for the market is 14.5 percent. Using the CAPM, what rates of return should Anita require for each individual security?
Stock | Beta |
---|---|
H | 0.84 |
T | 1.42 |
P | 0.85 |
W | 1.16 |
Related Book For
Financial Management Principles and Applications
ISBN: 978-0133423822
12th edition
Authors: Sheridan Titman, Arthur Keown, John Martin
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