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CAPM Required Return a Company Has a Beta of 3

Question 72

Multiple Choice

CAPM Required Return A company has a beta of 3.75. If the market return is expected to be 20 percent and the risk-free rate is 9.5 percent, what is the company's required return?


A) 33.250%
B) 39.375%
C) 48.875%
D) 55.625%

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