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    Corporate Finance Core Study Set 1
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    Exam 11: Return and Risk: The Capital Asset Pricing Model Capm
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    PPO Stock Has a Beta of 0
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PPO Stock Has a Beta of 0

Question 11

Question 11

Multiple Choice

PPO stock has a beta of 0.97 and an expected return of 11.22 percent.The risk-free rate of return is 2.48 percent.What is the expected return on the market?


A) 11.85%
B) 13.04%
C) 11.62%
D) 11.49%
E) 12.16%

Correct Answer:

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