Question: Given company i ' s CAPM model: Ri = 0 . 0 5 + 0 . 4 * Rmt The market return Rmt is 0

Given company i's CAPM model:
Ri =0.05+0.4* Rmt
The market return Rmt is 0.04, and Company i's actual return is 0.070. What is the company's abnormal return?
Group of answer choices
0.004
-0.002
0.003
0.002

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