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MNC Corporation Has a Beta of 2

Question 40

Multiple Choice

MNC Corporation has a beta of 2.0.The risk-free rate of interest is 5%,and the return on the stock market overall is expected to be 13%.What is the required rate of return on MNC stock


A) 21%.
B) 41%.
C) 16%.
D) 13%.
E) none of the above

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