Question: Using the formula and information below, calculate the CAPM on a stock. Please give your answer to 2 decimals.: CAPM = Risk Free Rate +

Using the formula and information below, calculate the CAPM on a stock. Please give your answer to 2 decimals.:

CAPM = Risk Free Rate + [ Beta x ( Expected Market Rate Risk Free Rate ) ]

Risk-free rate: 1.70 %; Beta: 1.2; Expected Market Rate : 4.25 %.

Answer:_______%

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