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    Financial Management Theory and Practice Study Set 1
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    Exam 7: Risk, Return, and the Capital Asset Pricing Model
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    A Stock Has an Expected Return of 12
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A Stock Has an Expected Return of 12

Question 126

Question 126

Multiple Choice

A stock has an expected return of 12.60%.Its beta is 1.49 and the risk-free rate is 5.00%.What is the market risk premium?


A) 5.10%
B) 5.23%
C) 5.36%
D) 5.49%

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