Assistance requested in calculating the answer to this practice
question. 
Homework Answers
According to the CAPM,
Required Return = Risk-free Rate + [Beta * Market Premium]
= 6% + [1.65 * 12%]
= 6% + 19.8%
= 25.8%
So, 4th option is correct.
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Assistance requested in calculating the answer to this practice
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