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A stock with a beta of 1.03 has an expected return of 13% and an alpha of -2.85% when the market expected return is 15.5%
A stock with a beta of 1.03 has an expected return of 13% and an alpha of -2.85% when the market expected return is 15.5% . What must be the risk free rate that satisfies these conditions?
3.84%
3.86%
3.83%
3.85%
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