Question: As an equity analyst you are concerned with what will happen to the required return to Universal Toddler' stock as market conditions change. Suppose r

As an equity analyst you are concerned with what will happen to the required return to Universal Toddler' stock as market conditions change. Suppose r_RF = 7%, r_M = 12%, and b_UT = 1.5.

Under current conditions, what is r_UT, the required rate of return on UT Stock? Round your answer to one decimal place.

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