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The risk-free rate is 3.9 and you believe that the S&P 500 's excess return will be 11.8 over the next year. If you invest

image text in transcribed The risk-free rate is \3.9 and you believe that the S\\&P 500 's excess return will be \11.8 over the next year. If you invest in a stock with a beta of 1.4 (and a standard deviation of \30 ), what is your best guess as to its expected excess return over the next year? The expected excess return over the next year is j. (Round to two decimal places.)

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