Solution-Find the required rate of return for equity

Find the required rate of return for equity investors

Reference no: EM132633172

Question - Find the required rate of return for equity investors of a firm with a beta of 1.2 when the risk-free rate is 6%, the market risk premium is 4%, and the return on the market is 10%.

A. 4.80%

B. 6%

C. 10%

D. 10.80%

Reference no: EM132633172

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Find the required rate of return for equity investors

Reference no: EM132633172

Reference no: EM132633172

Questions Cloud

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Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

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