Problem:
A particular stock has an expected return of 11%. If the expected risk premium on the market portfolio is 8%, and the risk-free rate is 5%, what is the stock's CAPM beta?
A. 1.375
B. 0.750
C. 0.846
D. 0.462
Additional Information:
This question is basically belongs to the Finance as well as it is about computation of company stock's CAPM.