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The Expected Return on JK Stock Is 15

Question 98

Multiple Choice

The expected return on JK stock is 15.78 percent while the expected return on the market is 11.34 percent. The stock's beta is 1.62. What is the risk-free rate of return?


A) 3.22 percent
B) 3.59 percent
C) 3.63 percent
D) 3.79 percent
E) 4.18 percent

Correct Answer:

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