Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. rr18 inlio a stock has a beta of 1.4. the risk-fr

rr18 InLIO A stock has a beta of 1.4. The risk-free rate is 1%....

50.1K

Verified Solution

Question

Finance

imagerr18

InLIO A stock has a beta of 1.4. The risk-free rate is 1%. Assume that the CAPM holds. Part 1 Attempt 1/10 for 6 pts. What is the expected return for the stock if the expected return on the market is 12%? Part 2 Attempt 1/10 for 6 pts. What is the expected return for the stock if the expected market risk premium is 12%

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students