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A stock has a beta of 0.85, the expected return on the market is 15 percent, and the risk-free rate is 9 percent. What must

A stock has a beta of 0.85, the expected return on the market is 15 percent, and the risk-free rate is 9 percent. What must the expected return on this stock be?

Multiple Choice

  • 14.66%

  • 21.75%

  • 13.4%

  • 14.81%

  • 14.1%

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