Appropriate required rate of return for the three stocks

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Reference no: EM131991316

CAPITAL ASSET PRICING MODEL

Using the CAPM, estimate the appropriate required rate of return for the three stocks listed here, given that the risk-free rate is 7% (seven percent) and the expected return for the market is 15% (fifteen percent). DATA Stock Beta A 0.55 B 0.63 C 1.25 Risk-free rate 7% Market rate 15%

Stock Returns A B C

Reference no: EM131991316

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