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11) A stock has an expected return of 19 percent, its beta is 1.45, and the expected return on the market is 14 percent. What
11) A stock has an expected return of 19 percent, its beta is 1.45, and the expected return on the market is 14 percent. What must the risk-free rate be?
2.89%
3.03%
-1.30%
2.74%
3.00%
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