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BETA COEFFICIENT Given the following information, determine the beta coefficient for Stock L that is consistent with equilibrium: hat ( r ) L = 1

BETA COEFFICIENT

Given the following information, determine the beta coefficient for Stock

L

that is consistent with equilibrium: hat

(r)_{L} = 12.5 %

;

r_{R F} = 5.7 %

;

r_{M} = 8.5 % .

Round your answer to two decimal places.

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