The historical returns data for the past four years for Stock C and the stock market portfolio returns are: Stock C: 10%, 30%, 20%, 20%; Market Portfolio: 5%, 15%, 25%, 15%. If the risk-free rate of return is 5%, calculate the required rate of return on the Stock C using CAPM.
A) 5%
B) 10%
C) 15%
D) none of the above
Correct Answer:
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Q34:
-The historical data for the past three
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