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You consider buying a share of stock at a price of $19. The stock is expected to pay a dividend of $.80 next year, and
You consider buying a share of stock at a price of $19. The stock is expected to pay a dividend of $.80 next year, and your advisory service tells you that you can expect to sell the stock in 1 year for $22. The stock's beta is 0.8, rf is 8%, and E[rm] 18%. What is the stock's abnormal return
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