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Stock’s Abnormal Return Assignment | Homework For You

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May 28th, 2020

You consider buying a share of stock at a price of $20. The stock is expected to pay a dividend of $1.20 next year, and your advisory service tells you that you can expect to sell the stock in 1 year for $23. The stock’s beta is 0.7, rf is 9%, and E[rm] = 19%. What is the stock’s abnormal return? Get Finance homework help todayHomework For You

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