Question: Stock A is correctly priced and has an expected return of 12%, a standard deviation of 25% and a beta of 1.05. The risk-free rate

Stock A is correctly priced and has an expected return of 12%, a standard deviation of 25% and a beta of 1.05. The risk-free rate is 4%. What is the stock's return per unit of systematic risk? a. 13.0% b. 10.7% c. 7.6% d. 11.4% e. 8.0%
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