Required return on riskier stock exceed-on less risky stock

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Reference no: EM13911189

Stock R has a beta of 1.5, Stock S has a beta of 0.75, the expected rate of return on an average stock is 13%, and the risk-free rate is 7%. By how much does the required return on the riskier stock exceed that on the less risky stock?

Reference no: EM13911189

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