How to fix 'Microsoft.NETCore.App', version '1.1.2' was not found?

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I am seeing this error when I try to run unit tests:

Testhost process exited with error: It was not possible to find any compatible framework version The specified framework 'Microsoft.NETCore.App', version '1.1.2' was not found. - Check application dependencies and target a framework version installed at: \ - Alternatively, install the framework version '1.1.2'.

How to fix it?

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