What is the required return of hamid corporation stock

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Problem 1: Hamid Corporation has a beta of 2.0, and last year generated a return of 16 percent with a standard deviation of returns of 27 percent. The risk-free rate of interest is 4 percent and the market risk premium is 9 percent. What is the required return of Hamid Corporation's stock?

A. 22 percent

B. 27 percent

C. 34 percent

D. 38 percent

Reference no: EM132835924

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