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The Stock of Uncle Fred's Has a Beta a 1

Question 206

Multiple Choice

The stock of Uncle Fred's has a beta a 1.23 and an expected return of 13.42%. The risk-free rate of return is 3.8%. What is the expected return on the market?


A) 9.87%
B) 10.04%
C) 10.67%
D) 11.23%
E) 11.62%

Correct Answer:

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