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Suppose that there are many stocks in the security market and that the characteristics of stocks A and B are given as follows: Suppose that
Suppose that there are many stocks in the security market and that the characteristics of stocks
A and are given as follows:
Suppose that it is possible to borrow at the riskfree rate, What must be the value of the risk
free rate? Hint: Think about constructing a riskfree portfolio from stocks A and
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