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The stock has a beta of 1.5, with an expected return of 18%. And, the market expected return is 13%. What should be the risk-free

The stock has a beta of 1.5, with an expected return of 18%. And, the market expected return is 13%. What should be the risk-free rate according to the CAPM?

Multiple Choice

5%

3%

12%

6%

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