The common stock of Industrial Technologies has an expected return of 12.4 percent.The market return is 9.2 percent and the risk-free return is 3.87 percent.What is the stock's beta?
A) 0.42
B) 1.00
C) 1.32
D) 1.42
E) 1.60

Name: The common stock of Industrial Technologies has an expected return of 12.4 percent.The market return is 9.2 percent and the risk-free return is 3.87 percent.What is the stock's beta? A) 0.42 B) 1.00 C) 1.32 D) 1.42 E) 1.60
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Quizplus · Accepted Answer

12.4 = 3.87 + β (9.2 − 3.87); β = 1.60

The Common Stock of Industrial Technologies Has an Expected Return