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You are considering buying a stock with a beta of 1.38. If the risk-free rate of return is 8.0%, and the expected return for the

You are considering buying a stock with a beta of 1.38. If the risk-free rate of return is 8.0%, and the expected return for the market is 17.0%, what should the expected rate of return be for this stock?

Question 6 options:

20.42%

31.46%

41.50%

16.81%

24.10%

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