Question
In: Economics
Suppose the risk-free rate is 1% and the market’s risk premium is 7%. If a portfolio...
Suppose the risk-free rate is 1% and the market’s risk premium is 7%. If a portfolio has a Beta of 1.2, what rate of return would you expect on this portfolio?
Select one:
a. Cannot tell from the information given
b. 9.6%
c. 8.7%
d. 9.4%
Solutions
Rahul Sunny answered 2 years agoRelated Solutions
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CAPM
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EPS
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2 20% 12% $3.8
3 80% 17% $4.2
2) If the company is unleveraged, its Price per share
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$17.42
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