Multiple Choice
The beta for the DAK Corporation is 1.25.If the yield on 30 year T-bonds is 5.65%,and the long term average return on the S&P 500 is 11%.Calculate the required rate of return for DAK Corporation.
A) 12.34%
B) 7.06%
C) 13.74%
D) 5.35%
E) 5.65%
Correct Answer:
Verified
Correct Answer:
Verified
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