Question: Polycorp's existing assets (projects) have a average beta of 1.2. The market risk premium is 7% and the risk free rate is 4%. What is
Polycorp's existing assets (projects) have a average beta of 1.2. The market risk premium is 7% and the risk free rate is 4%. What is the risk adjusted rate of return RADR required for these assets (the cost of capital of the existing assets)? provide your answer as a percentage but do not enter the % sign. An answer of 10.456% should be entered as 10.46.
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