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(Capital Asset Pricing Model) CSB, Inc. has a beta of 0.916. If the expected market return is 10.5 percent and the risk-free rate is 7.0 percent, what is the appropriate expected return of CSB (using the CAPM)? The appropriate expected return of CSB is %. (Round to two decimal places.) (Capital Asset Pricing Model) Breckenridge, Inc., has a beta of 0.95. If the expected market return is 11.0 percent and the risk-free rate is 5.5 percent, what is the appropriate expected return of Breckenridge (using the CAPM)? The appropriate expected return of Breckenridge is %. (Round to two decimal places.)

(Capital Asset Pricing Model) CSB, Inc. has a beta of 0.916. If the expected market return is 10.5 percent and the risk-free rate is 7.0 percent, what is the appropriate expected return of CSB (using the CAPM)? The appropriate expected return of CSB is %. (Round to two decimal places.) (Capital Asset Pricing Model) Breckenridge, Inc., has a beta of 0.95. If the expected market return is 11.0 percent and the risk-free rate is 5.5 percent, what is the appropriate expected return of Breckenridge (using the CAPM)? The appropriate expected return of Breckenridge is %. (Round to two decimal places.)

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Unit 8- 9 and 10

(Capital Asset Pricing Model) CSB, Inc. has a beta of 0.916. If the expected market return is 10.5 percent and the risk-free rate is 7.0 percent, what is the appropriate expected return of CSB (using the CAPM)? The appropriate expected return of CSB is %. (Round to two decimal places.)
Transcribed Image Text:(Capital Asset Pricing Model) CSB, Inc. has a beta of 0.916. If the expected market return is 10.5 percent and the risk-free rate is 7.0 percent, what is the appropriate expected return of CSB (using the CAPM)? The appropriate expected return of CSB is %. (Round to two decimal places.)
(Capital Asset Pricing Model) Breckenridge, Inc., has a beta of 0.95. If the expected market return is 11.0 percent and the risk-free rate is 5.5 percent, what is the appropriate expected return of Breckenridge (using the CAPM)? The appropriate expected return of Breckenridge is %. (Round to two decimal places.)
Transcribed Image Text:(Capital Asset Pricing Model) Breckenridge, Inc., has a beta of 0.95. If the expected market return is 11.0 percent and the risk-free rate is 5.5 percent, what is the appropriate expected return of Breckenridge (using the CAPM)? The appropriate expected return of Breckenridge is %. (Round to two decimal places.)
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