Looking for reliable answers? Westonci.ca is the ultimate Q&A platform where experts share their knowledge on various topics. Get quick and reliable solutions to your questions from a community of experienced experts on our platform. Get quick and reliable solutions to your questions from a community of experienced experts on our platform.

The market return is 10% and the risk free rate is 3%. Rascals inc. Has a market beta of 1. 0, a smb beta of −. 60, and a hml beta of −0. 85. The risk premium on hml and smb are both 2%. If the single factor model generates a regression coefficient of 1. 3, using the fama-french three factor model, what is the different in returns between the three-factor model and the single factor model expected returns on rascal inc. Stock?.