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Comparing a Stock's Required Return (RR)to Its Expected Return (ER),we

Question 28

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Comparing a stock's required return (RR) to its expected return (ER) ,we can say


A) the stock is a good buy when they are equal.
B) that each represents a different concept and,so,they may have quite different values.
C) they are simply different perspectives on the same concept and,so,they should have the same value.
D) the stock is a good buy only when RR is greater than ER.

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