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Business, 15.04.2020 05:01 adambbogard1589
You consider buying a share of stock at a price of $25. The stock is expected to pay a dividend of $1.50 next year, and your advisory service tells you that you can expect to sell the stock in 1 year for $28. The stock's beta is 1.1, rf is 6%, and E[rm] = 16%. What is the stock's abnormal return?A. 1% B. 2% C. -1% D. -2% E. None of the above
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You consider buying a share of stock at a price of $25. The stock is expected to pay a dividend of $...
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