Question: According to CAPM , a stock has an expected return of 12% and a beta of 1.7. If the expected return on the market is

According to CAPM , a stock has an expected return of 12% and a beta of 1.7. If the expected return on the market is 8%, what must the risk-free rate of return be?

(Round answers to two decimals without %, for example, for answer 5.43%, enter 5.43 only)

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