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    Exam 10: Estimating Risk and Return
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    Netflicks, Inc
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Netflicks, Inc

Question 5

Question 5

Multiple Choice

Netflicks, Inc. has a beta of 3.61. If the market return is expected to be 13.2 percent and the risk-free rate is 7 percent, what is Netflicks' risk premium?


A) 20.91%
B) 22.38%
C) 25.72%
D) 29.38%

Correct Answer:

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