Calculate required rate of return

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Reference no: EM131864273

Calculate the required rate of return for Manning Enterprises assuming that investors expect a 4.8% rate of inflation in the future. The real risk-free rate is 2%, and the market risk premium is 6%. Manning has a beta of 2.2, and its realized rate of return has averaged 13.5% over the last 5 years. Round your answer to two decimal places.

Reference no: EM131864273

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