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A stock has an expected return of 16 percent, its beta is 1.4, and the expected return on the market is 13 percent. What must

A stock has an expected return of 16 percent, its beta is 1.4, and the expected return on the market is 13 percent. What must the risk-free rate be? (Do not round your intermediate calculations.) rev: 09_20_2012 Multiple Choice -2.20% 5.77% 5.72% 5.22% 5.50%

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