# Required rate of return

**Question description**

Assume that the risk-free rate is 2.5% and that the market risk premium is 6%.

What is the required rate of return on a stock with a beta of 1.1? Round your answer to two decimal places.

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What is the required rate of return on a stock with a beta of 2.3? Round your answer to two decimal places.

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What is the required return on the market? Round your answer to two decimal places.

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