Question: If a stock has a(Alpha)=0.002, b(Beta)=1.2, Using the market model (eq. 7.4), find the expected percent return for the above stock if the market return

If a stock has a(Alpha)=0.002, b(Beta)=1.2,

Using the market model (eq. 7.4), find the expected percent return for the above stock if the market return is expected to be 2% and the risk-free rate is 1%

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