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The risk-free rate is 3.5%. the expected rate of return on the market is 11%. Beta and the expected rate if return for four stocks
The risk-free rate is 3.5%. the expected rate of return on the market is 11%. Beta and the expected rate if return for four stocks are as follow:
A, 1.2, 14%;
B, 0.8, 9%,
C, 1.3, 13.25%,
D, 0.7, 10%.
Which of the stocks should not be purchased?
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