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Chapter 11 - using CAPM A stock has an expected return of 14.3 percent, the risk-free rate is 5.55 percent, and the market risk premium

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Chapter 11 - using CAPM A stock has an expected return of 14.3 percent, the risk-free rate is 5.55 percent, and the market risk premium is 7 percent. What must the beta of this stock be? Beta = 1.25

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