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If the market risk premium is (r m -r f ) is 8%, the according to the CAPM, the risk premium of a stock with

If the market risk premium is (r_m-r_f) is 8%, the according to the CAPM, the risk premium of a stock with beta value of 1.7 must be:

A) less than 12%

B) 12%

C) greater than 12%

D) cannot be determined

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