Economy, asked by Rohitkumar8013, 10 months ago

According to capm if a stock has a beta 1.5 the current risk free rate is 6% and the expected return of the market is 14% what is the expected rate of return on the stock

Answers

Answered by Anonymous
2

Explanation:

Expected return = Risk Free Rate + [Beta x Market Return Premium] Expected return = 2.5% + [1.25 x 7.5%]

Similar questions