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The S&P500 has an expected return of 16.1%. The riskless rate is 2.5% and XYZ's beta is 1.3. What should the expected return on XYZ

The S&P500 has an expected return of 16.1%. The riskless rate is 2.5% and XYZ's beta is 1.3. What should the expected return on XYZ stock be according to CAPM? Please give your answer to four decimal places.

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