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Determining the market risk premium

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Reference no: EM132589472

RAD Inc. has a beta equal to 1.7 and a required return of 18% based on the CAPM. If the market risk premium is 9%, the risk-free rate of return is

  • 2.3%.
  • 3.5%.
  • 2.7%.
  • 1.5%.

Reference no: EM132589472

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