25. Suppose the risk-free return is 5% and the market portfolio has an expected return of 15%...

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25. Suppose the risk-free return is 5% and the market portfolio has an expected return of 15% and a standard deviation of 22%. Johnson & Johnson Corporation stock has a beta of 0.98. What is its expected return? 26. What is the sign of the risk premium of a negative-beta stock? Explain. (Assume the risk premium of the market portfolio is positive.)

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