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What is the required rate of return on zzz stock

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Reference no: EM13258871

The pure rate of interest is 3%,investors demand a 5% inflation premium on long-term investments, and risk premium for a stok with beta of 1 is 7%.ZZZ stock has a beta of 1.35

a)What is the required rate of return on ZZZ stock?

 

Reference no: EM13258871

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