The index model has been estimated for stock A with the following results: RA=0.01+1.7RM+eAM=0.20and(eA)=0.10 The standard deviation of the return for stock A is The index model has been estimated for stock A with the following results: RA=0.01+1.7RM+eAM=0.20and(eA)=0.10 The standard deviation of the return for stock A is