Fisher Co.'s stock has a beta of 1.40, the risk-free rate is 4.25%, and the market risk premium is 5.50%. What is the firm's required rate of return? Show work in excel  Is this stock a good investment if you expect to get a return of 13% on this stock? Explain.

Corporate Fin Focused Approach
5th Edition
ISBN:9781285660516
Author:EHRHARDT
Publisher:EHRHARDT
Chapter6: Risk And Return
Section: Chapter Questions
Problem 14P
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Fisher Co.'s stock has a beta of 1.40, the risk-free rate is 4.25%, and the market risk premium is 5.50%.

What is the firm's required rate of returnShow work in excel 

Is this stock a good investment if you expect to get a return of 13% on this stock? Explain. 

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