Question: suppose you observe the following situation: Security Beta Expected Return Pete Corp. 1.35 12.28% Repete Co. 8.54 Assume these securities are correctly priced. Based on
suppose you observe the following situation: Security Beta Expected Return Pete Corp. 1.35 12.28% Repete Co. 8.54 Assume these securities are correctly priced. Based on the CAPM, what is the ex return on the market? What is the risk-free rate
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