Question: Ch 08: End-of-Chapter Problems - Risk and Rates of Return Back to Assignment Attempts: Keep the Highest: /1 7. Problem 8.10 (CAPM and Required Return)

Ch 08: End-of-Chapter Problems - Risk and Rates of Return Back to Assignment Attempts: Keep the Highest: /1 7. Problem 8.10 (CAPM and Required Return) eBook Problem Walk-Through Beale Manufacturing Company has a beta of 1.1, and Foley Industries has a beta of 0.60. The required return on an index fund that holds the entire stock market is 12%. The risk-free rate of interest is 5.5%. By how much does Beale's required return exceed Foley's required return? Do not round intermediate calculations. Round your answer to two decimal places. % Grade it Now Save & Continue Continue without saving

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