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Cooley Company's Stock Has a Beta of 1

Question 122

Multiple Choice

Cooley Company's stock has a beta of 1.28,the risk-free rate is 2.25%,and the market risk premium is 5.50%.What is the firm's required rate of return? Do not round your intermediate calculations.


A) 9.29%
B) 9.94%
C) 10.96%
D) 8.55%
E) 11.52%

Correct Answer:

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