Calculate the required rate of return for manning enterprise

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Calculate the required rate of return for Manning Enterprises assuming that investors expect a 3.9% rate of inflation in the future. The real risk-free rate is 2%, and the market risk premium is 6%. Manning has a beta of 2.6, and its realized rate of return has averaged 11.5% over the last 5 years. Round your answer to two decimal places.

Reference no: EM13304253

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