Question1: Partridge Plastic's stock has an estimated beta of 1.4, and its required return is 13 percent. Cleaver Motors' stock has a beta of 0.8, & the risk-free rate is 6 percent. Calculate the required return on Cleaver Motors' stock?
[A] 12.0%
[B] 11.0%
[C] 10.0%
[D] 7.0%
[E] 10.4%