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Suppose that the T-Bill rate is 2% and that the expected return on the market is 8% over the next year. What is the alpha
Suppose that the T-Bill rate is 2% and that the expected return on the market is 8% over the next year. What is the alpha on a security with a beta of 0.8 that is offering a forecasted 7.4% return?
A.) -0.60%
B.) 0%
C.) 0.60%
D.) 0.75%
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