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5) The stock of Martin Industries has a beta of 1.02. The risk-free rate of return is 3.7 percent and the market risk premium is

The stock of Martin Industries has a beta of 1.02. The risk-free rate of return is 3.7 percent and the market risk premium is 6.85 percent. What is the expected rate of return on Martin Industries stock?

a. 10.69%

b. 6.91%

c. 16.42%

d. 14.46%

e. 10.19%%

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