Multiple Choice
Hefty stock has a beta of 1.2. If the risk-free rate is 7% and the market risk premium is 6.5%, what is the required rate of return on Hefty?
A) 14.8%
B) 14.4%
C) 12.4%
D) 13.5%
Correct Answer:
Verified
Correct Answer:
Verified
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