Question: E Homework: Chapter 9 Homework Question 6, P9-9 (simila... Part 2 of 3 HW Score: 46.21%, 5.08 of 11 points Points: 0.33 of 1 o

E Homework: Chapter 9 Homework Question 6, P9-9 (simila... Part 2 of 3 HW Score: 46.21%, 5.08 of 11 points Points: 0.33 of 1 o Save Cost of common stock equity-CAPM J&M Corporation common stock has a beta, b), of 0.5. The risk-free rate is 6%, and the market return is 13%. a. Determine the risk premium on J&M common stock. b. Determine the required return that J&M common stock should provide c. Determine J&M's cost of common stock equity using the CAPM. a. The risk premium on J&M common stock is 3.5 %. (Round to one decimal place) b. The required return that J&M common stock should provide is % (Round to one decimal place)
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