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Apply the Capital Asset Pricing Model (CAPM) security Market Line to estimate the required return on General Electric stock and compare the required...

Apply the Capital Asset Pricing Model (CAPM) security Market Line to estimate the required return on General Electric stock and compare the required return over the last 52 weeks, found in the Yahoo! Finance Profile. Is there a difference between these returns. Is this a problem? Why is there a difference? Assumptions and Data: Note that you will need an estimate of the risk free state, rRF, the market risk premium. Assume a 5% market risk premium and get the current yield on 10-year Treasury securities from Yahoo! Finance's front page in the Market Summary (left side page)

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