Values correctly reflects on stock required return

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Allison, an analyst at Butoh Partners (BP), models the stock of the company. Suppose that the risk-free rate = 5%, the required market return = 10%, the risk premium for small stocks = 3.2%, and the risk premium for value stocks = 4.8%. Suppose also that Allison ran the regression for Butoh Partners's stock and estimated the following regression coefficients: abp= 0.00, bBp = 1.2, cBp = -20.4, and dBp = -1.3. If Allison uses a Fama-French three-factor model, then which of the following values correctly reflects on the stock's required return?

Reference no: EM131954068

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