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Suppose the expected return of a portfolio that consists of 65% stock A and 35% stock B according to the CAPM is 12%. If the

Suppose the expected return of a portfolio that consists of 65% stock A and 35% stock B according to the CAPM is 12%. If the risk-free interest rate is 2% and the expected return of the market portfolio is 8%, and the beta of stock B is 0.75 then the beta of stock A is: O 0.263 O 1.667 O 2.160 O 1.404

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