Question: 19) An analyst estimates the index model for a stock using regression analysis involving total returns. The estimated intercept in the regression equation is 6%

 19) An analyst estimates the index model for a stock using

19) An analyst estimates the index model for a stock using regression analysis involving total returns. The estimated intercept in the regression equation is 6% and the is 0.5 . The risk-free rate of return is 12%. The true of the stock is A) 9%. B) 3%. C) 6%. D) 0%

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