Please show step by step how to calculate the estimate the required return for your...
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Accounting
Please show step by step how to calculate the estimate the required return for your company.
Answer: 20.97
information:
the risk-free rate in the economy right now is 0.07%
the estimate for the S&P 500 is 7.81% per year
your firm has a beta of 2.7
what is the estimated required return for your company's stock?
please put answer as a percent with two decimal places
Thank you.
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