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2 A stock has a beta of 1.5, the expected return on the market is 16 percent, and the risk- free rate is 5.6 percent.

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2 A stock has a beta of 1.5, the expected return on the market is 16 percent, and the risk- free rate is 5.6 percent. What must the expected return on this stock be? 10 points Multiple Choice 22.05% (0) 20.14% O 29.6% O 22.26% 21.2%

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