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2. A stock has a beta of 1.35, the market risk premium is 6 percent, and the risk-free rate is 3.5 percent. What is the

2. A stock has a beta of 1.35, the market risk premium is 6 percent, and the risk-free rate is 3.5 percent. What is the required rate of return on this stock?

Group of answer choices

a. 3.50%

b. 6.87%

c. 11.60%

d. 13.13%

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