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Business, 31.10.2019 06:31 Hockeypro1127

Company a has a beta of 0.70, while company b's beta is 1.20. the required return on the stock market is 11.00%, and the risk-free rate is 4.25%. what is the difference between a's and b's required rates of return? (hint: first find the market risk premium, then find the required returns on the stocks.)a. 2.75%b. 2.89%c. 3.05%d. 3.21%e. 3.38%

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Company a has a beta of 0.70, while company b's beta is 1.20. the required return on the stock marke...
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