Calculate stock expected rate of return

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The following table shows betas for several companies. Calculate each stock's expected rate of return using the CAPM. Assume the risk-free rate of interest is 8%. Use a 10% risk premium for the market portfolio. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)

Caterpillar1.70%

Apple1.34%

Johnson & Johnson0.53%

Consolidated Edison0.25%

The cost of capital percentage is needed. the values above are the Beta.

Reference no: EM133115954

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