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Consider the following two stocks A and B in a portfolio. Stock A has beta of 1.50 and alpha of 3.60%. Stock B has a

Consider the following two stocks A and B in a portfolio. Stock A has beta of 1.50 and alpha of 3.60%. Stock B has a beta of 0.50. The weights of A and B in the portfolio are 40% and 60%. The portfolio has a beta of 0.9 and alpha of 2.5%. The risk-free rate is 5% and market risk premium is 2%. What is the alpha of stock B according to the CAPM?

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