a. (Required Rate of Return Using CAPM) Compute a fair rate of return for Apple...
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a. (Required Rate of Return Using CAPM) Compute a fair rate of return for Apple common stock, which has a 1.5 beta. The risk-free rate is 8 percent and the market portfolio (New York Stock Exchange stocks) has an expected return of 16 percent. b. Why is the rate you computed a fair rate?
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