Suppose the market risk premium is 4%  and the​ risk-free interest rate is 3% . Using the data in the​ table, LOADING...​, calculate the expected return of investing in a. ​Starbucks' stock. b.​ Hershey's stock. c.​ Autodesk's stock.

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Stock Market Indices

Stock indexes are used to compare the price fluctuations of a group of stocks of similar companies, which are combined based on a similar industry or a particular market capitalization limit or type of market. The price comparison is based on a pre-determined standard method or indicators. These stock indexes are usually considered a base for comparison of a particular stock, and the performance of that particular company can be easily determined.