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The return to the market is 12% and the risk free rate is 4%. If a stock has an expected return of 8%, what is
The return to the market is 12% and the risk free rate is 4%. If a stock has an expected return of 8%, what is the implied beta of that stock?
A) 0.50 B) 0.67 C) 0.75 D) 0.83 E) Cannot be calculated without knowing the volatility of the market
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