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What is the required return on the riskier stock

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Reference no: EM131721794

Stock c has a beta of 1.5. Stock D has a beta of 0.75. The expected rate of return on an average stock is 13%, and the risk free rate is 7%.

a. What is the required return on the riskier stock?

b. What is the required return on the less risky stock?

Reference no: EM131721794

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