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Security A has an expected rate of return of 26.25% and a beta of 1.95. The riskfree rate is 3.25% and the market risk premium
Security A has an expected rate of return of 26.25% and a beta of 1.95. The riskfree rate is 3.25% and the market risk premium is 6.50%. What is the alpha of security A? Enter your answer rounded to two decimal places. Do not enter % in the answer box. For example, if your answer is 0.12345 or 12.345% then enter as 12.35 in the answer box.
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