Desreumaux Inc's Stock Has an Expected Return of 12

question 41

Multiple Choice

Desreumaux Inc's stock has an expected return of 12.25%, a beta of 1.25, and is in equilibrium.If the risk-free rate is 5.00%, what is the market risk premium?

• A)5.80%
• B)5.95%
• C)6.09%
• D)6.25%
• E)6.40%

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