Question: Please explain step by step, I am in no rush for the answer so would prefer a detailed response. Thanks in advance. 7. If the
Please explain step by step, I am in no rush for the answer so would prefer a detailed response.
Thanks in advance.

7. If the expected rate of return of the market portfolio is 15 percent and a stock with a beta of 1.0 pays a dividend yield of 4 percent, what must the market believe is the expected rate of price appreciation on that stock
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