Calculate the required return for each stock

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Reference no: EM131847891

Given the following information, expected return for the market, 12 percent, standard deviation of market return, 21 percent; risk free rate, 8 percent, correlation coefficient between stock A and the marker, 0.8, correlation coefficient between Stock B and the market, 0.6; standard deviation for stock A, 25 percent; standard deviation for stock b, 30 percent

A. calculate the beta for stock a and stock b

B. calculate the required return for each stock

Reference no: EM131847891

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