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Porter Inc's Stock Has an Expected Return of 12

Question 90

Multiple Choice

Porter Inc's stock has an expected return of 12.25%,a beta of 1.25,and is in equilibrium.If the risk-free rate is 5.00%,what is the market risk premium?


A) 5.80%
B) 5.95%
C) 6.09%
D) 6.25%
E) 6.40%

Correct Answer:

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