Question: The expected return on stock W is 11.80%. The expected return on stock Q is 9.60%. Assuming CAPM holds, if the beta of stock W
The expected return on stock W is 11.80%. The expected return on stock Q is 9.60%. Assuming CAPM holds, if the beta of stock W is higher than the beta of stock Q by 0.26, what should the risk premium be?
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