Bradford Manufacturing Company has a beta of 1.4, while Farley industries has a beta of 0.8. The required return on an index fund that holds the entire stock market is 13.7%. The risk-free rate of interest is 4.3%. By how much does Bradford’s required return exceed Farley’s required return? Round to 4 decimal places if possible Ex 10.0456%
Bradford's required return will exceed by 5.64% than Farley's required return
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