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Security A has an expected rate of return of 12% and a beta of 1.1. The market expected rate of return is 8%, and the
Security A has an expected rate of return of 12% and a beta of 1.1. The market expected rate of return is 8%, and the risk-free rate is 5%. The alpha of the stock is ________.
Select one:
a.8.7%
b.5.5%
c.-1.7%
d.3.7%
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