The Franko Company Has a Beta of 1

question 90

Multiple Choice

The Franko Company has a beta of 1.09. By what percent will the rate of return on the stock of Franko Company increase if the market rate of return rises by 3%?

• A) 1.91%
• B) 2.75%
• C) 3.27%
• D) 4.09%

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