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The security market line proposes that the required rate of return for a Stock S is determined by the following formula: Select one: a. r

The security market line proposes that the required rate of return for a Stock S is determined by the following formula:

Select one:

a. r_m = r_rf + (r_s -r_rf)b_s

b. r_s = r_rf + (r_m - r_rf)b_s

c. r_rf = r_s + (r_m - r_s)b_s

d. r_s = r_rf + (r_m - r_rf)b_s

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