Question

Zacher Co.'s stock has a beta of 1.16, the risk-free rate is 4.25%, and the market risk premium is 5.50%. What is the firm's required rate of return?

Select one:

a. 10.43%

b. 10.53%

c. 10.63%

d. 10.73%

e. 10.83%

Answer 1

Ans is c. 10.63%

Please upvote if the ans is helpful. In case of doubt,do comment.Thanks.