Question: If google has a beta coefficient equal to 1.06 the risk premium associated with the market is 8 percent, and the risk free rate is

If google has a beta coefficient equal to 1.06 the risk premium associated with the market is 8 percent, and the risk free rate is 2 percent, application of the capital asset pricing model indicates the appropriate return should be _______.

7.21%

8.00%

10.48%

8.36

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