Solution-What is the company new required rate of return

What is the company new required rate of return

Reference no: EM133121904

Porter Plumbing's stock had a required return of 9.81% last year, when the risk-free rate was 3.97% and the market risk premium was 4.06%. Then an increase in investor risk aversion caused the market risk premium to rise by 1.9%. The risk-free rate and the firm's beta remain unchanged. What is the company's new required rate of return (%)?

Reference no: EM133121904

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What is the company new required rate of return

Reference no: EM133121904

Reference no: EM133121904

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