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The stock has a beta of -0.5, the risk-free rate is 1 percent, and the market risk-premium is 7 percent. What is the stock return?

The stock has a beta of -0.5, the risk-free rate is 1 percent, and the market risk-premium is 7 percent. What is the stock return?

1%

4%

4.50%

-2.5%

-2%

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