Consider an asset with a beta of 1.2, a risk-free rate of 4.49%, and a market return of 12.4%. What is the expected return on assets?

Financial Management: Theory & Practice
16th Edition
ISBN:9781337909730
Author:Brigham
Publisher:Brigham
Chapter25: Portfolio Theory And Asset Pricing Models
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What is the expected return on assets on this financial accounting question?

Consider an asset with a beta of 1.2, a risk-free rate of 4.49%, and a market
return of 12.4%.
What is the expected return on assets?
Transcribed Image Text:Consider an asset with a beta of 1.2, a risk-free rate of 4.49%, and a market return of 12.4%. What is the expected return on assets?
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