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A portfolio has a beta of 1.27. The portfolio consists of 25 percent U.S. Treasury bills, 38 percent Stock A, and 37 percent Stock B.

A portfolio has a beta of 1.27. The portfolio consists of 25 percent U.S. Treasury bills, 38 percent Stock A, and 37 percent Stock B. Stock A has a risk level equivalent to that of the overall market. What is the beta of Stock B?

1.54
1.49
2.02
1.79
2.41

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