Question: (Using the CAPM to find expected returns) Johnson Manufacturing, Inc., is consider- ing several investments. The rate on Treasury bills is currently 4 percent, and

(Using the CAPM to find expected returns) Johnson Manufacturing, Inc., is consider- ing several investments. The rate on Treasury bills is currently 4 percent, and the expected return for the market portfolio is 10 percent. What should be the expected rate of return for each investment (using the CAPM)? cial Assets Security Beta A 1.50 B .82 C .60 D 1.15 un nodroturn Sinteranial onerates two mutual funds
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