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5. You are considering investing in one of the two following stocks: Stock Er) Beta A 14% 1 B 16% 1.2 a. the return on
5. You are considering investing in one of the two following stocks: Stock Er) Beta A 14% 1 B 16% 1.2 a. the return on the market portfolio is 13% and the risk-free rate is 5%, which stock is a better buy? b. Show the alpha of each stock in a graph
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