Question: R i = i + i R M + e i where R i is the excess return for security i and R M is

Ri=i+iRM+ei
where Ri is the excess return for security i and RM is the market's excess return. The risk-free rate is 2%. Suppose also that there are three securities A,B, and C, characterized by the following data:
\table[[Security,i,E(Ri),(ei)
Ri=i+iRM+ei where Ri is the excess return for security i and

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