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What the true beta of the stock is

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Reference no: EM132569780

Question 1: An analyst estimates the index model for a stock using regression analysis involing total returns. The estimated intercept in the regression equation is 6% and the B is 0.5. The risk free rate of return is 12%. The true Beta of the stock is:

A. 3%

B. 0%

C. 9%

D. 6%

Reference no: EM132569780

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