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Business, 07.04.2020 21:33 LikeIke9418

You are holding a stock that has a beta of 2.0 and is currently in equilibrium. The required return on the stock is 15%, and the return on an average stock is 10%. What would be the percentage change in the return on the stock, if the return on an average stock increased by 30% while the risk-free rate remained unchanged?

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You are holding a stock that has a beta of 2.0 and is currently in equilibrium. The required return...
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